Featured News Headlines
Bitcoin Price Holds Strong While Network Fundamentals Reach Record Levels
Bitcoin continues to demonstrate strength in both its price and network fundamentals, with the hash rate and mining difficulty reaching all-time highs this week. The surge comes on the heels of multi-week record inflows into U.S. spot Bitcoin ETFs, highlighting growing institutional interest and renewed investor optimism.
Record-Setting Network Metrics
According to Bitinfocharts, Bitcoin’s hash rate—the measure of total computational power securing the blockchain—hit 1.12 billion TH/s on September 12. At the same time, the network’s mining difficulty climbed to a record 136.04T, reflecting the increased challenge miners face when validating blocks.
Difficulty adjustments occur every 2016 blocks, roughly every two weeks, and typically rise in tandem with higher hash rates. The next adjustment, scheduled for September 18, is projected by CoinWarz to increase by 6.38% to 144.72T.
Impact on Miners
Varun Satyam, co-founder of Davos Protocol, noted that these spikes often pressure smaller or less efficient miners to scale back operations. In contrast, larger operators tend to hold or accumulate, positioning themselves for price recoveries to offset capital expenditures.
Miners’ reserves have echoed this confidence, climbing to a 50-day high of 1.808 million BTC on September 9, according to CryptoQuant, suggesting miners are not rushing to sell.
Macro Tailwinds and Market Sentiment
The timing aligns with heightened expectations around the Federal Reserve’s September 17 meeting, where markets widely anticipate a 25 basis point rate cut. Investors believe this could provide further fuel for risk assets, including Bitcoin.
Historically, hash rate spikes following halvings have preceded major price rallies. “We may be entering a similar phase now,” said Satyam, pointing to easing selling pressure and favorable macro conditions.
Meanwhile, prediction market Myriad shows mixed sentiment: while over 80% of participants expect Bitcoin to stay above $105,000 this month, only 56% believe it will exceed $125,000 by year-end.
At the time of writing, Bitcoin trades just under $115,000, up 0.8% on the day and 2.3% on the week, per CoinGecko data.
