2 days after Bitcoin halved: The network 'remained strong,' the charge was higher, the sentiment increased sharply
On May 11, 2020, the Bitcoin network completed half of the third block reward and the network appeared to be working well. However, it may take longer to see the halving effect on the mining industry and right now bitcoin transaction fees have increased exponentially. Despite the rising fee, research firm Glassnode explained that Bitcoin blockchain Bitcoin health is still strong after the reward reduction.
Despite the increase in Bitcoin transaction fees, the Glassnode Report states that Network Health in general remains strong
The Bitcoin (BTC) network has halved the block reward and so far, everything is working as intended, at least for now. One problem people are complaining about today is the fact that transaction fees have increased significantly since halving. For example, if a person made a raw average out of the 50 blocks mined before halving, they would find that miners received around 0.205 BTC transaction fees per block.
However, after halving and a bit earlier, transaction fees (txn) began to rise much higher. At the time of publication, the fee required to enter the next block can range from $ 2-4 per txn. So far, there have been 241 blocks mined after halving and miners are getting around 1 BTC fee per block either touching more or less than each block. That is, most miners are getting around 7.5 to 8 BTC per block, which is not too bad at a loss, especially with a slowly rising price.
The price of BTC on May 13, 2020, rises above the $ 9K region.
A recent report by research and analysis firm Glassnode called Onchain Week: Week 19, 2020, explained that the Bitcoin network is still at its highest level in terms of health performance. The fundamentals of Bitcoin remain strong leading to and following the halving, reported by Glass Glassode. Hash Hash's report follows its trajectory as miners continue to mine, adding reports. As far as BTC market health, relative to the onchain fundamentals, declined slightly during Week 19, Glass Glassode said. I then registered a 2 point drop for the week, pushing the overall Bitcoin ecosystem assessment to 74 points, the 10th highest weekly value since 2017. This recession is mainly driven by Subindex, down 13 points, the reduction company wrote. Glassnode continues:
Network health is improving thanks to solid profits in both Network Growth and Network Activity, the first ever highest value gain since 2017. Liquidity has seen marginal improvement over several weeks. passed after registering to increase liquidity and reduce transaction liquidity slightly. After being near the 50-point mark for 5 weeks, it has now increased by 9 points. While leading to the third half of Bitcoin Bitcoin, Sentiment, on the other hand, has begun to plummet. Despite this, however, overall network health remains strong.
CEO of Coinshares: ‘Bitcoin is the perfect hedge for any investor
In addition, many BTC investors and cryptocurrency company executives are still very optimistic about the next price increase of bitcoin. Jean-Marie Mognetti, CEO of Coinshares, detailed in a note to investors that with [his] courage, [he] is raising prices for bitcoin.
Meanwhile, the Fed is trying to keep a positive market sentiment and has expanded its balance sheet by about $ 2.6 trillion since the end of February, superstar Mognetti wrote. This is the largest monetary inflation ever witnessed and the market is expecting many financial stimulus and bond buying programs will be issued. This has somehow been valued by a Fed fund futures contract between 2021 and the end of 2021 which means the Fed's negative interest rate. This is the first time in the United States, but we are in the era of First Firsts. Oil is also not supposed to be able to trade in negative territory, the Coinshares CEO adds. Mognetti concludes by stating:
The rest of the world needs to continue printing money or watch its own currency eroded strongly against an unbeatable dollar. Turkey, Brazil or Argentina are perfect examples of this. Therefore, in a world where investors continue to seek protection for their portfolios against the behavior of the World Bank, Bitcoin, a digital currency with a supply, is now available. programmatic determination to reduce until the maximum supply is reached, appears to be the perfect hedge for any institutional investor's portfolio.
Although Glassnode's report, fork.lol, a hashrate measurement site every three hours, shows that hashrate has dropped by at least 15-20 exahash since halving.
At the time of publication, BTC crossed the $ 9K range once again after falling below $ 9K just before halving. Cryptocurrencies have a market cap of about $ 166 billion today and network hashrate is not affected by the halving. Although data from the Fork.lol web portal shows that BTC may have lost around 15-20 exahash in the past 24 hours. However, if the price per BTC continues to rise, those miners may easily return in the near future. If prices go south, BTC network observers may see a much larger investment of miners leaving. So far, with more than 24 hours behind the halving and 241 blocks being mined that doesn't seem to be the case.
What do you think about one and a half days after Bitcoin halved? Let us know in the comments below.