Winter Freeze Causes 35% Drop In Bitcoin Hashrate In 24 Hours

The harsh winter winds in the US led many miners to shut down their equipment, which resulted in a 35% decrease in bitcoin hashrate in just 24 hours. reports that on December 24, the hashrate dropped to 156 EH/s. The average hashrate throughout the last 14 days was 237 EH/s. Numerous flights have already been cancelled due to the US winter storms.

The storm’s effects, such as outages, have forced Bitcoin miners to stop operating. According to website tracking service power outages, more than 1.4 million homes and firms are without power.

Energy providers urge consumers to conserve electricity, so it is understandable why Bitcoin miners shut down. Although, as of the publication, the hashrate was back to 234.26 EH/s.

Texas Miners Refuse To Continue Operating

However, concerns about how central Miner is and what this might entail for the network have been made in light of the sharp fall in hashrate. Dennis Porter, the CEO of Satoshi Act Fund, said that the network operated as intended. He compared large tech firms like Amazon and Google. he is saying that the effects would be drastically different if one-third of their data centres went out.

Porter, citing Lancium’s decision to cease operations as a data centre operator. He said that this demonstrated why miners are beneficial to the grid.

Bitcoin miners have once again voluntarily shut off power during an extreme weather event in Texas. Bitcoin miners are good for the grid.

The US has been an increasingly significant player in Bitcoin mining since China outlawed it in 2021. Texas’ affordable power and social rules are why many miners operate there. When the grid needs dramatically grow, these mining companies frequently cease operations.

Founder of FutureBit John Stefanop said vital central mining is to blame for the hashrate falling offline.

He says that weather and geological disasters have too much of an impact on the Bitcoin network. The Bitcoin network is currently 30% slower due to weather-related events in the US only.

He added:

If hashrate was distributed evenly around the world by 10’s of millions of small miners instead of a few dozen massive mines, this event would not have even registered on the network.

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Bitcoin Price History

As of the publication time, BTC had fallen by 0.05% over the previous 24 hours to $16,832. Data indicates that retail investors have bought a significant amount of the flagship digital asset because they like its current pricing. On the other hand, because of the bear market, Bitcoin whales have begun dumping their holdings.

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