The difficulty level for Bitcoin mining is adjusted downwards for the second time in a row

The difficulty level of Bitcoin mining has been adjusting for a while now. With the hash rate falling as more miners go offline due to declining profitability, mining difficulties have largely followed the same trend. But instead of falling the trend that has been persistent over the last two months, the difficulty has been to adjust down instead.

Mining difficulty decreases

Instead of the difficulty rising as expected, it diminishes. After miners saw their cash flow fall in the last couple of months, they have fought hard to keep the activities going. The blocks per hour produced had decreased with it given the reduced hash rate.

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The Bitcoin mining hash rate had actually reached a new all-time high back in June. But it would be short-lived given the decline in July. Currently, block production per hour comes out to 5.70, down 7.71% from last week’s production rate of 6.18 blocks per hour. As a result, there has been another downward difficulty adjustment, which marks two downward adjustments in a row. This comes after it was difficult for the family to get to a normal level last week.

An interesting thing that happened, however, was a unique incident that was recorded in the mining area. On Saturday, a total of six blocks were discovered in 6 and a half minutes, which is very unlikely. Nevertheless, the hash rate continues to decline.

Hashrate loses momentum | Source: Arcane Research

Bitcoin miners are suffering losses

The decline in bitcoin mining revenues has not been resolved in any way. Last week was no different from the weeks before that, when incomes from miners had continued to decline. This time, revenues decreased by 1.34%, reaching $ 18.39 million in daily realized revenues compared to last week’s figures of $ 18.64 million.

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However, the realized daily fees increased even though the transaction volumes decreased. Fees per day increased by 44.37% over the 7-day period, reaching $ 404,688, compared to last week’s 280,310. This increase in daily fees led to a 0.70% increase in the share of fees. This means that income from fees accounted for 2.20% of the total income, one of the highest they have been.

BTC price trending below $20,000 | Source: BTCUSD on TradingView.com

The fees will turn out to be the only ones green in a sea of ​​red chain measurements. Daily transaction volumes decreased by 8.69%, while the number of transactions performed per day decreased by 1.76%. Others include the average transaction volume which registered a decrease of 7.05%. Finally, average transactions per block fell from 1,814 to 1,782 over a one-week period to come out at a loss of 1.76%.

Featured image from How to Start an LLC, charts from Arcane Research and TradingView.com

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