• Bitcoin’s hashrate has been rising lately, with two mining pools controlling more than 50% of the world’s hashrate on December 29, 2022.
• The year 2022 has been quite bearish for Bitcoin, with the largest cryptocurrency in the world by market capitalization losing almost 65% of its value.
• Despite the bear market, institutional investors are placing substantial bets on Bitcoin, which could indicate a possible bull run in the near future.
The crypto community is closely monitoring the Bitcoin markets as the annual close of 2022 approaches. With the closing price for BTC/USD on December 31, any sudden volatility could make 2022 a tough bear market year. However, recent developments in the Bitcoin network suggest that it might make a comeback in 2023.
The hashrate of Bitcoin has seen an uptick recently, with the network’s hashrate increasing from the low 170 exahash per second (EH/s) observed earlier this week to above the 300 exahash level. Additionally, according to three-day hashrate distribution statistics taken on December 29, 2022, two mining pools control more than 50% of the world’s hashrate.
The year 2022 has not been good for Bitcoin. Since the beginning of the year, the largest cryptocurrency in the world by market capitalization has lost almost 65% of its value. This has left more than 50% of BTC investors in losses, resulting in a meltdown in the crypto markets.
Despite the bear market, institutional investors are placing substantial bets on Bitcoin. Michael Saylor, a co-founder of MicroStrategy, has a strong bullish outlook for Bitcoin. His company currently owns approximately 130,000 BTC, or 0.62% of the 19 million Bitcoin currently in circulation.
History suggests that bull runs in the price of Bitcoin typically last four years. Hence, the first step of this cycle is the accumulation of Bitcoin, which could be followed by an uptrend and selling. With institutional investors continuing to place big bets on Bitcoin, we might be seeing the start of a bull run in the near future.