- Bitcoin price recently fell below $38,300 while the hashrate hit a lifetime high.
- During this time, the network recorded a massive increase in the hash rate.
- BitMEX analysts believe that the growing influx of capital and miners joining the network implies that the price of BTC could witness a raging bull run.
Bitcoin’s price trend has seen swings over the past week as a key mining metric hit a new all-time high. Analysts are bullish on BTC price recovery as more miners join the network.
Bitcoin price could see a recovery on one condition
BitMEX analysts recently released a report forecasting that the computing power used to mine Bitcoin, or hashrate, will see a massive increase by the end of 2022. Coincidentally, lawmakers in Fort Worth, Texas, began to debate a bill to position the city as “crypto-friendly” and “industry-friendly”.
The city also aims to attract “companies contributing to the development of this evolving technology”.
As big players enter the mining industry, Bitcoin’s hashrate recently hit an all-time high of 247.39 Exahash per second (Eh/s). The new spike indicates that a high number of miners have joined the network for its rewards, which helps harden the BTC blockchain against any vulnerabilities.
Bitcoin hash rate as of April 26, 2022
Interestingly, the rise in the hashrate also reveals an influx of capital into the Bitcoin mining industry, which analysts liken to the gold rush of the 1880s.
Despite growing interest in Bitcoin mining, the market value of the pioneering cryptocurrency continues to fluctuate. The price of BTC fell below $38,000 on Monday, April 25, as uncertainty grew in global financial markets, but was able to rally back above $40,000 on Tuesday, April 26. .
As the Bitcoin network becomes more secure and more institutions and miners join the BTC blockchain, sudden price movements should decrease based on historical data.
@rektcapital, a pseudonymous crypto analyst, assessed the Bitcoin price trend and observed that BTC is currently holding the 2022 low at $40,325 as support. Continued support could push Bitcoin price to revisit the $43,100 resistance level.