Published

Bitcoin Hashrate Drops 8%: What Happened and Key Insights

3 min read
Bitcoin Hashrate Drops 8%: What Happened and Key Insights

Key Takeaways

  • 1 Daily hashrate dropped by about 100 EH/s — roughly 8%.
  • 2 At least 400,000 mining devices left the network simultaneously.
  • 3 Main cause was the phased shutdown of farms in Xinjiang.
  • 4 Average performance per device is estimated at around 250 TH/s.
  • 5 A Bitcoin OG wallet accumulated roughly 180,000 ETH.
  • 6 HashKey held an IPO with ~395x oversubscription, gathering ≈668 billion HKD in bids.

Bitcoin hashrate fell by 100 EH/s (~8%) after 400K miners left the network due to farm shutdowns in Xinjiang. Explore impacts and practical tips for miners.

The daily Bitcoin network hashrate recorded a sharp decline: analyst punk8185 notes a drop of approximately 100 EH/s, equating to about an 8% reduction. According to the same estimate, at least 400,000 mining devices left the network simultaneously, with the primary factor identified as the phased shutdown of farms in Xinjiang. These figures are significant for the mining ecosystem and have sparked intensified discussions among market participants.

Sharp Decline in Bitcoin Hashrate

A decrease of 100 EH/s, or roughly 8%, represents a substantial change in the network's total computational power within a short timeframe. The source estimates that at least 400,000 devices were disconnected simultaneously, with the average performance of one device around 250 TH/s, helping to grasp the overall scale of the power loss. For a detailed analysis of the causes and timeline, see more on the decline.

Impact on Network Security

The report highlights that disconnecting hundreds of thousands of units directly affects Bitcoin's overall network security — the drop in total power is a noticeable factor for participants. The decline happened rapidly, fueling discussions about the redistribution of global mining among regions and operators. For those interested in technical details and further analysis, there is a review of the causes and consequences of this event.

Actions of Major Cryptocurrency Holders

Analyst punk8185 also drew attention to activity from major players: one well-known Bitcoin OG wallet was increasing its Ethereum holdings, accumulating about 180,000 ETH at this address. The report notes such purchases often occur during periods of heightened market fear, adding another layer to market discussions.

Traditional Markets’ Interest in Crypto Infrastructure

Simultaneously, Asia is seeing growing interest from traditional investors in crypto infrastructure: the HashKey group conducted a public share offering in Hong Kong, which was oversubscribed approximately 395 times. The total volume of bids is estimated at about 668 billion Hong Kong dollars (HKD), which market participants view as a sign of capital interest in the sector.

Why This Matters

For miners operating 1–1000 devices in Russia, these facts have practical significance even if not directly connected to Xinjiang: the sharp drop in total network power changes the competitive landscape and raises attention to network security issues. The mentioned shutdown of hundreds of thousands of devices and the average 250 TH/s performance illustrate how major infrastructure shifts can quickly alter market dynamics and participant discussions.

What To Do?

Below is a brief set of practical steps miners in Russia should consider to adapt to increased network uncertainty.

  • Check and optimize equipment operation: ensure stable power supply and cooling to minimize downtime and improve farm reliability.
  • Monitor pool status and payout distribution: during sharp hashrate changes, track income shares and consider alternative pools if needed.
  • Review financial settings: verify electricity reserves and budget for unexpected low-profit periods.
  • Keep logs and monitoring data: records of outages and loads help respond faster and discuss issues with providers or service centers.
  • Follow infrastructure news and major deals: actions of large holders and events like HashKey’s IPO can influence overall market interest.

If you want to dive deeper into the impact of hashrate reduction and detailed analysis of difficulty and price changes, the overview of the hashrate-price relationship is useful, discussing possible links between power drops and market dynamics.

Frequently Asked Questions

How significant was the hashrate drop?

According to analyst punk8185, the daily hashrate decreased by about 100 EH/s, corresponding to an approximately 8% drop.

How many devices left the network and what is their average power?

At least 400,000 mining devices left the network simultaneously, with an average performance of around 250 TH/s per device.

Why did the power shutdown occur?

The source identifies the phased shutdown of mining farms in Xinjiang as the main reason.

Is there a connection between the hashrate drop and actions of major holders?

Analyst punk8185 notes that amid the changes, a Bitcoin OG wallet accumulated about 180,000 ETH, which became a topic of market discussion.

What else should miners monitor?

Miners should track infrastructure news, pool status, major market participants’ activity, and significant corporate events like HashKey’s IPO.