Bitcoin Hashrate Surpasses 1 ZH/s for the First Time Since March

The seven-day average Bitcoin hash rate exceeded 1 ZH/s (1000 EH/s) for the first time since March, reaching a peak since early March, according to analysts at BlocksBridge Consulting. Following the increase in computational power, mining difficulty also rose: during the last recalculation on October 16, the indicator increased by 5.92% to 140.58 T. BlocksBridge expects another increase—approximately 5.16% at the next recalculation, noting that the estimate will change as new blocks appear. If the forecast is accurate, difficulty will increase by 11.4% over two consecutive periods. According to experts, this will intensify competition among miners remaining in the network: all else being equal, it will become more difficult for each operator to mine the same amount of bitcoins.

In September, BlocksBridge recorded a 15% reduction in the realized hash rate of public mining companies for the first half of the year. In the second quarter, their revenue from AI and high-performance computing (HPC) services increased by 52% compared to the first quarter. Analysts estimated the freed-up capacity at approximately $1.5 billion in investments in mining equipment, based on $20 per TH/s.

However, the transition of companies into the field of artificial intelligence does not necessarily mean that their ASIC miners are permanently disconnected from the network. BlocksBridge suggested that some devices are being purchased by small and medium operators with access to cheap electricity. As an example, researchers cited Sazmining, which offers used Antminer S21 XP with hosting at sites in Paraguay and Texas. For small miners, purchasing on the secondary market may be more advantageous than acquiring new devices. At the same time, specialists acknowledged that the origin of the machines and the scale of their return to the network are still unknown.

Another factor in the recovery was the expansion of Bitdeer's capacities, which is developing mining in parallel with its AI business. In September, its own hash rate reached 82.3 EH/s compared to 79.9 EH/s a month earlier and 35 EH/s a year ago. The capacity of Bitdeer's equipment at third-party operators increased from 21.6 to 28.7 EH/s over the month.

CryptoQuant founder and CEO Ki Young Ju called the hash rate recovery an "indirect bullish signal for Bitcoin." According to him, the growth in computational power strengthens the network's security and the fundamental characteristics of the first cryptocurrency as a store of value. The expert also noted the participation of traditional financial organizations in financing public miners and regarded the expansion of their capacities as evidence of institutional investors' long-term interest.