Entering a critical turn in bitcoin mining: the strong one survives!
Bitcoin mining is moving towards a period where only strong ones can survive and make huge profits.
According to the latest report of the crypto data and analysis platform Coinmetrics , Bitcoin miners, which have been discussed more with the recent declines, will increase the shutter before halving.
The report noted that despite the second biggest drop in Bitcoin production difficulty, more Bitcoin miners are likely to quit.
Following the historical drop on March 12, a 44 percent contraction occurred in the hash rate, and many miners were already on the verge of stopping operations, some of which were closed.
About 1.5 months before the third block prize split in the history of Bitcoin, the mining industry has entered an unstable period. However, Bitcoin Cash (BCH) and Bitcoin SV (BSV) will cut supply cuts in early April. This means miners flock to BTC to win higher prizes. After all these developments, Bitcoin’s difficulty will increase and small businesses in the sector will be under more pressure. In the end, although they have survived so far, they will perhaps end their activities.
The strong one will survive
Even large mining companies (not just individual miners) appear to have been affected by sales caused by the Kovid-19 outbreak. Shortly after Black Thursday, the US company Digital Farms had stopped cryptocurrency mining activities indefinitely due to the sharp Bitcoin price drop.
Coinmetrics states that only strong mining companies will survive and make huge profits after these closings. According to the research company, leaving the inefficient miners out of the network will increase the profit margins for the remaining miners. This will both reduce sales pressure and increase prices.