Bitcoin Slides to $33,000

"Bitcoin has lost more than 3% over the past 24 hours and is currently trading at around $32,800. Overall, this can be considered good news for the crypto market, as the coin has confidently bounced above an important technical and psychological level and has held above it. The price dynamic of the cryptocurrency market is generally mixed and reflects the investors’ confusion and a desire to wait and see until clearer fundamentals emerge. The situation could be seriously affected by the development of mining and hashrate related events.

At the moment, the hashrate of the network is dropping drastically as Chinese miners are massively shutting down their devices. While this will not result in the collapse of the Bitcoin blockchain, it does significantly affect the mood, moreover, it is often believed that the price of Bitcoin depends on what happens to its hashrate. Larger mining pools are moving to different countries. For example, BTC.com is moving to Kazakhstan. However, there are more interesting destinations such as Miami, where the mayor has personally invited Chinese miners.

However, miners still fear facing significant cost increases and hidden legal issues. For the industry as a whole, the current process is assessed more positively, as the dispersion of Chinese computing power around the world will mean more decentralization, which in the long run will have a positive effect on the price of Bitcoin."