TL;DR
The larger bitcoin mining issue turns into → the extra it prices (in electrical energy) to mine bitcoin.
Usually, many miners will flip their computer systems off and wait until it turns into simpler (and due to this fact, extra worthwhile).
The unusual factor is, proper now mining issue is up, whereas Bitcoin’s value is down…however miners aren’t switching their machines off – in actual fact, they’re attempting to mine/accumulate as a lot BTC as humanly potential.
This implies miners imagine Bitcoin is undervalued, and is because of go up sooner relatively than later.
Full Story
To avoid wasting this text from getting slightly lengthy within the tooth – should you’re not already conversant in bitcoin mining issue, this is the way it works.
What it is advisable know here-and-now, is that this:
The larger bitcoin mining issue turns into → the extra it prices (in electrical energy) to mine bitcoin.
Problem often goes up as bitcoin’s value rises, as increasingly miners boot up their computer systems in an try to earn extra BTC.
However what occurs when mining issue goes up (making mining dearer) whereas bitcoin’s value drops?
Usually, many miners will flip their computer systems off and wait until it turns into simpler (and due to this fact, extra worthwhile).
The unusual factor is, proper now mining issue is up, whereas Bitcoin’s value is down.
…however miners aren’t switching their machines off – in actual fact, they’re attempting to mine/accumulate as a lot BTC as humanly potential.
So what does that point out?
These miners imagine Bitcoin is undervalued, and is because of go up sooner relatively than later.
And so they’re placing their electrical energy payments (cash) the place their mouths are.
That is an amazing signal!
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