Out of curiosity, is anyone concerned by Monero's
continued decline is hash rate since beginning of 2022? Not trying to FUD here, just curious of what people think about the following...
To me it looks static last year. It declined in 2022. What is normal since also price declined in 2022. Well at second look, I see price mainly declined in 2021. I guess during that year it was still hope Monero price will go up and more people mined with loss. Later they saw that is it for this cycle and gave up. Hash rate increased a lot in 2021. It is normal some of those newcomers dropped out.
I guess zooming out then it's also true that in 2018/2019 hash rate also declined then looked static, followed by the growth in 2020/2021, no doubt due to the price increase. So maybe it's not relevant.
Why is BTC hash rate keep growing I have no ideas. When I googled their last new ASIC come out in march 2020. Makes little sense that miners would need up to 3 years to update their miners. But what do I know.
Generally it's because it always increases, minus the odd dip. This is largely due to constantly finding cheaper electricity prices across the globe, increasingly affordable renewable energy. More recently also other industries such as hydro dams,as it can be cheaper to mine Bitcoin than to produce low quantity of electricity which is economically viable all year round. Flare gas based operations avoiding flaring by mining Bitcoin instead which saves a lot of money and scrutiny. Even main grids adopting Bitcoin mining, as it's cheaper to mine Bitcoin than to store excess electricity and always will be.
I realise Monero and Bitcoin mining are completely different markets, as one is based on cost of GPU/CPUs prominently, whereas the other is generally based on electricity costs or savings.