How do fluctuations in Bitcoin’s hash rate and mining-difficulty" class="glossary-term-link" data-term-id="17" data-bs-toggle="tooltip" data-bs-placement="top" title="The measure of how hard it is to mine a new block on a blockchain">mining difficulty offer insight into network health and market confidence?
Why is this the correct answer?
This is correct because the hash rate measures the total computing power securing the Bitcoin network, and difficulty adjusts to maintain consistent block times. When both rise, it means more miners are dedicating resources and capital to Bitcoin, signaling confidence in its long-term value and network health, which is crucial information for beginners to watch.
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