On April 15, a power outage in northern China led to a sharp drop in Bitcoin's hash rate. Since the largest mines are located in China, there was as much as a 20 percent drop. The falling hash rate gave miners a run for their money As a result of the declining hash rate, the backlog of transaction processing quickly increased. This drove up transaction costs. Thanks to high fees, Bitcoin miners earned nearly $16.7 million in just 24 hours. Wu Blockchain noted in a tweet yesterday: It appears that as a result of the backlog, some users have raised fees for miners to speed up their transactions. The number of transactions that could be processed and verified during this time has decreased dramatically. Therefore, many transactions were stuck in the mempool, waiting for more than 9 hours to be processed. Many analysts attributed the recent correction to a power outage in China. This has led to new concerns about the impact of the power outage on BTC and blockchain. Bitcoin is slowly bouncing back from the bottom Since the blackout, the topic of mining power shortage continues to be a hotly debated topic in the cryptocurrency community. Bitcoin has retreated from a new record high of $64,683 to fall to around $54,000. Bitcoin price is currently consolidating above 55,000 with support at $54,000. However, the nearly 10% drop on April 18 was not unusual. The king of cryptocurrencies has experienced drops as high as 25% during the current bull market. By comparison, in 2017, price drops ranged from 10% to 25% and occurred about 6 times. The current bull market, on the other hand, has only experienced one major pullback. According to Rekt Capital, the decline from the new all-time high has not affected the bullish trend of the coin. It appears that bitcoin is still far from its peak and despite the pullback, a return above $60,000 should be expected soon. Tags bitcoin btc China mining hash rate digging mining Spaki Wu Blockchain
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