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21 sats \ 1 reply \ @Scroogey 17 Nov 2022 \ parent \ on: Please help me understanding the maths behind Bitcoin, what am I missing? bitcoin
If price falls and some miners stop mining, the hash rate sinks. This causes the difficulty to adjust down, so the lower hash rate still produces one block every ten minutes on average.
Now less energy is used to secure the network, because some miners' gear is turned off.
When the price increases, hash rate and difficulty increase. When the price decreases, hash rate and difficulty decrease. Until equilibrium is reached again.
I see, this makes perfect sense. Thank you so much for the explanation.
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