Bitcoin price is going through constant ups and downs. The market is consolidating but the truth is that network fundamentals are really strong. This is clearly highlighted by hash rate being around 7 times higher than what it was like when BTC was at its all-time highest price.
The news was broken by Rhythm, a well-known crypto trader. It shows that hash rate is 7 times larger, as already mentioned above.
In December 2017, which was when the price of Bitcoin almost reached $20k, hash rate was very high, reaching a previously unseen 14.6 EH/s. Just some days ago, the BTC network had a hash rate that fluctuated around the amount of 95 EXA hashes per second, which is 95 million TH per second.
This hash rate rise comes after it did cool off in the past 2 months. Throughout the year though, we did see a constant rate growth. This came after a small dip that appeared at the end of 2018.
In September 2019 we saw a huge break as Bitcoin hash rate broke the amount of 100 EH per second. It was supposed to go as high as 120 EH per second for October.
The price of the Bitcoin cryptocurrency does not directly follow hash rate. Even so, there is a correlation noticed between the two. When we notice BTC price drops, hash rate tends to be reduced because the profitability of the miners goes down. Many miners capitulate when this happens. However, this only practically means that weak hands are shaken out as a strong bull-run is bound to appear.
Hash rate changes also directly impact the difficulty adjustments, which are needed to maintain the BTC production rate, one that is set to be around 10 minutes for every single block. There are actually analysts that analyze Bitcoin difficulty adjustment patterns in order to predict the future price movements.