Bitcoin Rises by 10% Despite China’s Crackdown
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The Value of Bitcoin has gone from $30,513 to $33,563, an increase of almost 10% despite china’s crackdown on cryptocurrency
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The Asian country had announced plans to crack down on BTC trading and mining in May.
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The closure of many mining rigs has caused the mining difficulty level of the coin to drop
After a huge drop in the latter part of last week, the flagship cryptocurrency has bounced backed by an increase of almost 10%.
The coin went from $30,513 to $33,563 on Sunday morning despite China’s crackdown on crypto trading and mining.
Mining
China had announced the ban of crypto trading and mining in MAY this year, leading to a drop in the hash rate.
China’s ban caused many crypto miners to move overseas and the closure of many mining rigs caused a reduction in the mining difficulty level.
Bitcoin mining difficulty adjusts to ensure that new blocks are rewarded at an average rate.
Read also: Paraguay May Be Set to Make BTC a Legal Currency
Crypto resurgence
The market was hugely affected last week given that over half of bitcoin mining occurs in China.
With miners seeking refuge in other countries, BTC may yet be able to bounce back.
