For the first time since July 2021, Bitcoin mining difficulty has dropped significantly. Interestingly, the drop has happened not once but twice within the space of this month alone. Meanwhile, Pantera CEO believes that Bitcoin price could reach $400k by 2025.
Bitcoin Mining Difficulty down
According to data from Glassnode, Bitcoin’s mining difficulty dropped by 0.35% on March 17. This followed the first drop of 1.5% the flagship digital asset had seen earlier this month.
Bitcoin mining difficulty is an automatic adjustment proportional to the network’s computing power, otherwise termed hash rate.
Notably, the Bitcoin mining hash rate had reached an ATH of 248 EH/s in February, leading to declarations that the asset has fully recovered from the China ban on mining activities within its jurisdiction last year.
Judging by the current happenings around the world, the drop is not entirely surprising considering the fact that Russia is one of the few countries that crypto miners had migrated to from China. Russia has been facing economic sanctions from the rest of the world due to its ongoing invasion of Ukraine.
Aside from that, the war in Ukraine has also led to a surge in the price of electricity across the world as Russia is one world’s largest exporters of gas and fossil fuel. These conditions, put together, would most likely have led to some miners unplugging their mining machines, thereby reducing the difficulty level.
Pantera Capital CEO: Expect Bitcoin at $400k by 2025
Pantera Capital’s CEO, Dan Morehead, in a recent interview with Bloomberg, has revealed that the price of Bitcoin is going to rise exponentially within the next decade.
According to Morehead, almost everyone with a smartphone would have access to crypto within the next 5-10 years. He posits that this global adoption would help push the price of the coin to the range of $400,000 by 2025, especially as more institutional investors get into the space.
Speaking on other digital assets, the founder expounded that other crypto-assets like Solana, Ethereum, and others have the potential to grow by 100 times their current value.