Analysis: As North America enters summer and experiences a heatwave, the growth of Bitcoin's computing power may slow down

As North America enters summer and experiences heatwaves, the growth of Bitcoin's computing power is expected to slow down in the coming months. The powerful computing devices used by miners generate a large amount of heat during operation, making heat mitigation one of the biggest operational challenges for Bitcoin miners. According to analysts at Blockware Intelligence, temperatures will significantly rise in large computers like ASIC (Application-Specific Integrated Circuit) without proper cooling measures.

With the arrival of summer, miners need to increase electrical cooling equipment or shut down some mining sites to prevent device overheating, leading to a decrease in computing power. Blockware points out that many miners have no choice but to reduce production during summer due not only to overheating issues but also demand response clauses triggered by increased residential energy consumption in their electricity purchase agreements. This seasonal phenomenon has led to reduced computational power over the past two summers, thereby lowering the difficulty of mining Bitcoin blocks.

A research report from Luxor Hashrate Index also confirmed this trend stating that with the arrival of summer in United States they are monitoring whether high temperatures will force miners to cut production and thus suppress computational power growth - similar situations were observed in 2022 and 2023. According to Hashrate Index data, since reaching its historical peak in March this year, computational power has dropped by 10% down to 589 EH/s. As most miners are located in hot regions such as Texas especially within United States; shutdowns by North American companies will have a significant impact on computational power growth.