Bitcoin mining hash rate surged three fold since the national ban on the crypto industry by the Chinese authorities. 

China is a technology-adaptive country in the world and in the present time country’s government agencies are directly active in many types of blockchain-based initiatives, to bring efficiency &  modernization to traditional systems. In the present time Metaverse, NFTs & Central Bank Digital Currency (CBDC) based works are going on smoothly at a very high level but without the involvement of cryptocurrencies.

On 21 May 2021, The People Bank of China, Central Bank of China, announced a ban on the crypto sector. Under the ban decision, China ordered all kinds of crypto-related companies including mining companies to exit the mainland of China.

When China announced ban on cryptocurrencies, the Bitcoin network hash rate plunged to 86.292 million TH/s. Due to the sudden downfall in the Bitcoin network hash rate, the price of Bitcoin plunged badly within a few hours. 

China ban fails to impact support of Bitcoin network: Report 1
Bitcoin price chart in the timeframe of China’s ban on the crypto sector

Now after 21 May to this date, the Bitcoin network hash rate surged by around 3 times, as per a report shared by Reflexivity Research on 5 October 2022. 

Bitcoin’s historical hash rate chart. Source: Reflexivity Research

Just a couple of days ago, Bitcoinik.com reported that the Bitcoin network hash rate hitted 240.208 million TH/s on 2 October.

China ban fails to impact support of Bitcoin network: Report 2
Bitcoin mining hash rate based on the 7-day average. Source: Blockchain.com

Bitcoin Price 

At the time of writing this article, the price of Bitcoin is $20,033 and this price is 62.8% down over the last 12 months of trade value. 

All these analyses are showing that the China crypto ban impacted price support for Bitcoin but failed to degrade the technical support of the Bitcoin network, which is a big win for Bitcoin against the China ban.

Read also: $56M withdrew by executives of Celsius before the bankruptcy filing



Source link

Author

Comments are closed.