Ethereum mining difficulty: new jump

What is the reason for new jump of Ethereum mining difficulty and what effect it has on Ethereum price?
22 September 2017   3258

For the last 24 hours, Ethereum mining difficulty increased by 1.16 times. ETC mining difficulty is now almost 2405.383 TH.

Ethereum mining difficulty chart
Ethereum mining difficulty chart

As you can see from a chart above, for less than 24 hours there was a huge jump. Let's figure out, what is the reason for it.

This situation can be caused by so called “Difficulty bomb impact”. 

Ethereum difficulty bomb impact
Ethereum difficulty bomb impact

What is Ethereum Ice Age? 

The Ethereum Ice Age is a difficulty adjustment scheme that was put in place to ensure that everyone has an incentive to move to the new blockchain once the hard-fork is implemented. It was introduced on the 7th of September (2015-09-07), about 11 months ago and it’s programmed to raise difficulty exponentially.

It’s impossible for miners to keep up with the increase of difficulty which would raise block time and it would make the blockchain freeze, hence the name Ice Age.

Ethereum Price Chart

Ethereum is down by 7.69% for less than 24 hours. Average price is $262.05.

Ethereum Price Chart
Ethereum Price Chart

ETH total market cap is $24.8B 

Only 0.5% of ETH Addresses to be Active

Although the total number of addresses on the Ethereum network is growing, the number of active addresses continues to decrease
17 December 2018   132

On Saturday, the number of unique addresses on the Ethereum network exceeded 50 million, according to data from the portal Etherscan.io.

The largest increase in the number of unique Ethereum addresses in one day was recorded on January 4 of the current year - then there were 352,888 registered, notes The Block.

Ethereum Unique Addresses
Ethereum Unique Addresses
Ethereum Active Addresses
Ethereum Active Addresses
 

Although the total number of addresses on the Ethereum network is growing, the number of active addresses continues to decrease. Coinmetrics portal defines active addresses as "unique sending or receiving addresses that are involved in the transfer of transactions on a given day."

The number of active Ethereum addresses fell by 68% from a peak of 719,093 on January 16 to 232,085 on December 15. Active addresses make up only 0.46% of all addresses on the Ethereum network.