Bitcoin (BTC) Hashrate Reaches New All-Time High of 833 EH/s, Pre-Halving Mining Hardware Pre-Orders Begin to Decline

Hashrate measures the computational power used to secure the bitcoin network through mining, and a higher hashrate signifies greater network security.

Bitcoin (BTC) hashrate has achieved another all-time high, with seven-day moving average jumping to 833 exahashes per second (EH/s), according to Glassnode data. This marks a 9% increase from 767 EH/s in the past few days.

However, pre-orders for mining hardware are declining following the pre-halving surge, Miner Mag reports. Many mining firms had stocked up on equipment in anticipation of this event, ensuring their operations remained competitive throughout the next difficulty adjustment period. But as mining hardware pre-orders begin to slow down, analysts expect a slowdown in hashrate growth.

Hashrate measures the computational power used to secure the bitcoin network through mining, and a higher hashrate signifies greater network security.

According to The Miner Mag, the network has seen a significant rise in hashrate over the past 18 months, largely driven by institutional investment in mining infrastructure.

The surge was ahead of bitcoin’s April 2024 halving, which occurs approximately every four years and reduces the block reward by 50%. Since the halving, the hashrate has increased by more than 40%, indicating continued expansion in mining operations.

However, the rise in hashrate has coincided with mining profitability remaining relatively flat in recent months. One primary factor is historically low transaction fees, which have reduced miner earnings.

In the bitcoin mempool, a high-priority transaction currently costs just 5 sat/vB ($0.69)—one of the lowest fee levels in recent years. With fewer transactions generating fees, miners are earning less from transaction fees, making it harder to offset operational costs.

The bitcoin network’s long-term economic model relies on transaction fees gradually replacing the block subsidy as the primary source of miner revenue, but the current market dynamics pose challenges to this model.

Looking ahead, the next difficulty adjustment is scheduled in four days and is projected to increase by over 6%, taking it to an all-time high and putting further pressure on miners.