Bitcoin Network hash-rate has made a fresh All-Time-high (ATH) going past 740 exahashes per second (EH/s) as recorded on Sept 3, 2024. Hash-rate is a measurement of the number of complex calculations the network can perform to solve complex computational challenges required to validate a transaction.
With an increased hash-rate, the probability for miners to earn rewards increases. However, a miner’s effective mining profit depends largely on BTC prices.
While an increased hash-rate indicates the overall security and strength of the network, it is important to note that it does not impact BTC prices directly. Though historically, it has been observed that on occasions, an increase in hash-rate may precede a positive price movement.
Will BTC Hit $63k This Week?
Over the past 24 hours Bitcoin has remained sideways without breaking support at $58.5k. Currently, it is up 1.56% day-on-day and trading at $59.3k.
Last week, BTC prices faced rejection from $63k and tumbled by over 9% to hit a weekly low at $57,100. However, in the last 48 hours BTC has shown resilience and managed to regain the $58.5k support which was crucial.
Bitcoin has already made a failed attempt to cross the $60k mark earlier today, but it faced an immediate rejection indicating the price action is still weak. Also, the net outflow from Bitcoin ETFs is negatively impacting Bitcoin’s price action. According to Coinglass data, Bitcoin ETFs saw a net outflow in excess of $45 million on Monday.
Moreover, a summary of Bitcoin’s weekly technical indicators including Moving Average and RSI is neutral – it doesn’t indicate a buy either. Add to it the fact that the US Employment Data for August is scheduled to be released on Friday.
Fresh investments driving BTC prices upwards may start to pour in based on the report from the US Labor department. A positive employment data can provide some strength to the broader high-risk assets markets. Consequently, it may positively impact BTC prices.
However, at the current levels, given the price action, it will be a challenge for Bitcoin to break resistance at $61.3k – beyond which it can make an attempt to hit the $63k mark this week. It is also critical that Bitcoin holds support at $58.5k, which if breached we might get to see BTC prices tumbling sharply. The next strong support is at $53k.
