Since the rally, it has gone into consolidation around the lower-$11k area. Hence, Bitcoin came up with an overtly bullish technical structure and numerous analysts are currently predicting more upside moves in the coming days and weeks.
However, as the price action of Bitcoin is strong, the strength of its network is likewise growing. At the moment, the hash rate of BTC is just beneath its lifetime high of 126 million terahashes per second (TH/s) which was established a couple of weeks ago.
Despite its stabilization close to this number, it is possible to see it climb higher in the near-term as a result of the growing profitability of Bitcoin mining. Nevertheless, as a result of the latest adjustments in mining difficulty, it may be a tempered growth.
It seems the demand for Bitcoin network is increasing and the cryptocurrency is recording a huge increase in its transaction fees. The fees are close to the yearly highs that were established following the May mining rewards halving event.
The rising fees in Bitcoin network space is such that miners received an aggregate of $2.06 million in tx fees three days ago. A combination of high fees and robust prices is making Bitcoin mining more lucrative, thereby possibly suggesting that its hash rate is about to record more growth in the near-term.
Based on data from blockchain.com, transactions valued at about $3 billion ran through Bitcoin network three days ago. However, over the past twenty-four hours, an aggregate of 358,916 confirmed transactions were recorded.
In conclusion, this growth in network demand is suggesting that the current rise in the price of Bitcoin is as a result of underlying strength.