The difficulty of mining is implied: Bitcoin will reach $31,000 in 2021.

According to the latest data on the difficulty of bitcoin mining, the price of Bitcoin may exceed $30,000 in 2021.

11

The famous encryption analyst PlanB shared statistics on the difficulty of bitcoin mining on Twitter. He analyzed the relationship between the percentage of bitcoin price growth from the low difficulty of mining and the number of blocks.

Difficulty in mining is the difficulty of encrypting miners to calculate the correct hash value. It can measure the degree of competition in bitcoin miners, because the more intense the competition, the more difficult it is to mine.

PlanB said that bitcoin has experienced several difficulty cycles in history, and the price of bitcoin in each cycle will increase by an order of magnitude relative to the previous difficulty.

As you can see in the chart, the price of Bitcoin was as high as $1,300 at the end of 2013, which was 50,000% higher than the previous difficulty. At the end of 2017, the price of Bitcoin was $20,000, which was 9,000% higher than the previous difficulty.

According to this model, Bitcoin is currently entering a new mining difficulty cycle. If it can replicate the law of price increases in the first few difficulty cycles, it will rise by 1000% in 2021, that is, to $31,000. Because the bitcoin mining difficulty was lower in December 2018, the transaction price was $3,100.

According to the data, the price of Bitcoin has been oscillating around 10,000 USD in the past month. Although there are Bakkt in the encryption industry, Bitcoin futures will be launched, Sino-US trade war will intensify, the world may face economic recession, and the UK may have no agreement to leave the EU. Good news, but investors are still waiting to see.

Image source: Twitter, Pixabay

By Xiu MU

We will continue to update Blocking; if you have any questions or suggestions, please contact us!

Share:

Was this article helpful?

93 out of 132 found this helpful

Discover more

Blockchain

Interpretation of wallet data: The exchange holds more than 12.4 billion mainstream currencies, who is the largest Holder?

QUICK TAKE The cryptocurrency exchange currently holds at least $12.4 billion in Bitcoin, Ethereum and USDT (Tether) ...

Blockchain

Exchange captures EOS super nodes

The rise of Staking's economy has driven the business of PoS mining and has broken the power structure of EOS su...

Blockchain

Alameda Engineer SBF stole my life savings

As an engineer at Alameda Research, my entire life savings were stolen by my former boss, Sam Bankman-Fried (known to...

Blockchain

The second phase of the fire coin Prime project led the disputed person to claim that two exchanges were “strong”

Huobi Prime's second phase project started with a long-awaited call, and was fixed as Newton Project. The inside...

Blockchain

A number of exchanges will openly call the FATF proposal at the G20 opening meeting

The G20 summit of the G20, which everyone is paying attention to, will be held on June 28 and 29, 2019 in Osaka, Japa...

DeFi

LK Venture Research Report | Telegram vs Twitter Who will dominate the super application race in the Web3 era?

Original author LeoDengSummary X and Telegram are globally renowned social media platforms that are exploring in the ...