Bitcoin Mining Power Hits New Highs, But Network Usage Remains Low

Bitcoin’s network has reached a record-breaking level of hash rate, exceeding 838 exahashes per second (EH/s) according to Glassnode. This surge in mining power comes despite concerns over Bitcoin’s growing disconnect between the security of its network and real-world usage. While miners are dedicating more computing power than ever before, low transaction fees and empty blocks signal potential challenges for the long-term sustainability of Bitcoin’s network economics. 24-hour hash rate recently reached a second-highest level at 974 EH/s. The network difficulty adjustment, designed to maintain a consistent block generation time around 10 minutes, is expected to increase by over 3% in the coming days. However, this increased mining power isn’t yet reflected in Bitcoin’s broader market trends; its price remains 25% below its all-time high, while transaction activity and fees remain alarmingly low. Bitcoin miners rely heavily on block rewards for profitability as they generate revenue through both these sources. While block reward payouts currently stand at 3,125 BTC per block, transaction fees have dropped to just 4 BTC per day. This disparity raises concerns over the long-term sustainability of Bitcoin’s network if real-world adoption doesn’t increase. Experts warn that Bitcoin’s