Weekly Update
The global crypto market cap is up by 1.31% to $985.47B at the time of writing this article. Over the past 24 hours, the overall volume of the cryptocurrency market has decreased by 6.38% to $60.47B. In comparison to last week, the crypto market has taken a hit, with the market capitalization of crypto assets slightly declining, resulting in a slight decline in the overall Cryptocurrency Market Capitalization.
DeFi’s total 24-hour volume is $5.48B, or 9.05% of the overall crypto market volume. All Stablecoin volume is currently $55.18B, or 91.25% of the 24-hour volume of the whole crypto market.
Bitcoin was trading at about $20,087.14 at the time. According to data from CoinMarketCap, Bitcoin’s market share is currently 39.03%, a decrease of 0.22% from the previous day.
After a week of ups and downs, the cryptocurrency market appears to have found a level footing. Nonetheless, given the rise of Web3 and Blockchain, as well as the fact that volatility is inherent in cryptocurrency trading, this minor price change does not appear to be cause for concern.
Increase In Bitcoin Mining Difficulty
According to BTC.com data, the mining difficulty for the world’s largest cryptocurrency has increased by 9.26% in the last two weeks.
Scott Norris, the co-founder of the private Bitcoin miner LSJ Ops, told Decrypt that “difficulty shrinking is the cause for concern,” because it would mean more miners are dropping off the network — making it less efficient.
“A difficulty increase is an indicator of a strong and growing network, it’s actually a good thing,” he said, adding that “sectors like gas and hydro are championing cheap energy costs and allowing for a new generation of long-term mining to emerge.”
The increase in mining difficulty, combined with the current price of bitcoin, results in the cause for panic among investors, but bitcoin remains one of the most secure and consistently profitable crypto investments over the long term (with the right ASIC). As a result, while miners will feel the pinch of increased difficulty, mining should remain a profitable venture.
It is also worth noting that miners earned approximately $657 million last month, according to data compiled by The Block Research. Mining revenue in the Bitcoin (BTC) mining industry increased by 68.63% in less than a month. When compared to July, bitcoin mining revenue increased by nearly 69% in August. Revenue was $13.928M on July 13 and $23.488M on August 12.
