I don't think there's a direct correlation between the drop in hash rate with BTC and its price. Maybe the negativity with the news on it affected the people speculating before (with the cost of BTC increasing) and now decreasing and are just taking profit or cutting losses that they may have. Or maybe someone just dumped their bags because they need them so much, possibly with the new year or something.
What other parameters can we check to see if the two variables are connected?
Topic: Internet is down on Kazahstan, Bitcoin Hashrate drooped, Price affected? - page 3. (Read 515 times)
January 05, 2022, 11:09:10 PM
January 05, 2022, 10:58:47 PM
Bitcoin is down because the Federal Reserve will be raising interest rates in 2022 and also because there is an unlocking of about 100,000 BTC from MtGox this month, I believe. This drop in price, and any further decline, presents an opportunity for those who were waiting for lower prices to get into BTC, IMO.
January 05, 2022, 10:28:39 PM
Kazakh miners are the second that generate bitcoin mining hashrate generating about 18.1% of the total while United States is the first with a total of about 35.4%. This can lead to some people thinking the protest in Kazakhstan that led to the Kazakh government to shot down the internet leading to 13.4% reduction in the hashrate Kazakh miners are generating could lead to bitcoin price reduction.
But, this is what I read recently about Federal Reserve's December FOMC meeting that might be connected to bitcoin price reduction:
Although, I am not certain what could have caused this recent drop but more linked to when the meeting surfaced to showed that the regulator is committed to decreasing its balance sheet and increasing interest rates in 2022.
I do not think the mining hashrate reduction in Kazakhstan caused this. Also that the mempool is not even congested at all. Even if the mempool is congested, I do not see how people could sell off their bitcoin all because of what is happening in Kazakhstan that led to reduction in mining hashrate as a result of internet shot down.
But, this is what I read recently about Federal Reserve's December FOMC meeting that might be connected to bitcoin price reduction:
Quote from: https://cointelegraph.com/news/bitcoin-price-drops-to-43-7k-after-fed-minutes-re-confirm-plans-to-hike-rates
Bitcoin (BTC) and the wider cryptocurrency market fell under as equities markets pulled back at the closing bell after minutes from the Federal Reserve's December FOMC meeting showed that the regulator is committed to decreasing its balance sheet and increasing interest rates in 2022.
As stock markets corrected, BTC price followed suit by dropping below $44,000, setting off a cascade of liquidations that reached $222 million in less than an hour.
As stock markets corrected, BTC price followed suit by dropping below $44,000, setting off a cascade of liquidations that reached $222 million in less than an hour.
Although, I am not certain what could have caused this recent drop but more linked to when the meeting surfaced to showed that the regulator is committed to decreasing its balance sheet and increasing interest rates in 2022.
I do not think the mining hashrate reduction in Kazakhstan caused this. Also that the mempool is not even congested at all. Even if the mempool is congested, I do not see how people could sell off their bitcoin all because of what is happening in Kazakhstan that led to reduction in mining hashrate as a result of internet shot down.
January 05, 2022, 10:01:09 PM
An Internet connection from Kazahstan was shut down and it could be possible because of protest from the gas price.
I saw a tweet from @lawmaster - https://twitter.com/lawmaster/status/1478764142957846531/photo/1
Where pointing that there is dropped about -12% from hash rate of Bitcoin about 10 hours ago and if you can see we saw a dumped on the price of Bitcoin.
Could this be the reason for dumping? Bitcoin dumped for almost 10% from $46,000 down to sub $42000.
I saw a tweet from @lawmaster - https://twitter.com/lawmaster/status/1478764142957846531/photo/1
Where pointing that there is dropped about -12% from hash rate of Bitcoin about 10 hours ago and if you can see we saw a dumped on the price of Bitcoin.
Could this be the reason for dumping? Bitcoin dumped for almost 10% from $46,000 down to sub $42000.
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