Despite the stagnation in the Bitcoin market, the hash rate of the leading cryptocurrency has become increasingly stronger. The hash rate is the measure of the computing power that is allocated to the BTC blocks in the mining. As CoinCorner’s Matt Ward comments, data shows that the hash rate just hit a new all-time high on July 13th: 147.88 exahashes per second, which is twice as high as a year ago and more than ten times higher than that $ 20,000 high of 2017.
Bullish for the Bitcoin price: BTC analyst
According to Bitcoin investor and co-host of the “Keizer Report” Max Keizer, BTC is likely to follow the higher hash rate in terms of price. In a series of tweets from July 13, Keizer repeats his view:
“The hash rate precedes the BTC price. The Bitcoin price – not so important – since the gold price is not so important, since both BTC and gold are traded inversely to the USD. Rising BTC hashrate shows confidence in collapsing Fiat money Soon BTC will actually pull energy from Fiat money. “
By the way: Keizer believes that 99% of all hash rates in the crypto industry will soon be allocated to Bitcoin. This assessment is shared by other investors. Digital asset manager Charles Edwards presented the “Energy Value” model for the BTC price in December 2019. The premise is that the “value of Bitcoin is a function of its energy use in joules”.The formula he created has already proven to be accurate – and his analysis showed that it had a value of 80% R2 over the entire life of Bitcoin.