Bitcoin recently had its second-highest difficulty adjustment since its creation in 2009. The network adjusted itself by 16% on the 3rd of November after Bitcoin had a major mining difficulty drop.
Before now, Bitcoin’s highest difficulty adjustment was 18% in 2011.
Market analyst Glassnode said:
“We just observed the 2nd largest negative Bitcoin mining difficulty adjustment in history: -16%. It topped the -15.9% change in March this year. The only other time difficulty saw a larger downwards adjustment (-18%) was over 9 years ago, in Oct 2011.”
Despite the difficulty adjustment, the price of Bitcoin remains relatively stable. Currently, BTC is up nearly 2% to $13,717.14.
On the 30th of October, BTC jumped 5% in reaction to ECB news of a new stimulus package in December. As a result of the ongoing health crisis, the US stock market has been declining, and investors now see Bitcoin as a safe haven asset.
About 24 hours after the 5% increase, BTC hit its new all-time-high, crossing $14,000.
Institutional demand for Bitcoin is rising as companies like MicroStrategy and GrayScale have acquired large amounts of the digital asset.
On the 12th of October, a chart by Coin98 Analytics showed that 13 public companies have invested in BTC. In total, the companies have invested more than $6 billion, representing 600,000 BTC.
Image Credits: Pixabay
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