Bitcoin hashrate recovers following China’s Sichuan hydro surge
Hashrate recovery and pool dominance
Bitcoin’s hashrate climbed toward 915 EH/s in early September after hitting a triple bottom near 850 EH/s.
I see strength.
This recovery follows the volatility seen earlier this year. The network sits roughly 20% below the October 2025 peak of about 1.15 ZH/s. In January 2026, the hashrate briefly surpassed 1 zettahash per second, but US winter storms caused a 12% drop shortly after. Mining involves competing to secure the ledger. Foundry USA holds 244 EH/s. This amount equals 26% of the total hashrate. AntPool and F2Pool each hold between 14% and 18% based on seven-day averages. These three pools facilitate the majority of mining activity. The Nakamoto coefficient stays low at 3. A handful of pools control over half the blocks. If you already know the importance of concentration, these figures confirm the dominance of large pools. I find the current concentration of power in a few hands concerning.
Difficulty and Chinese energy shifts
The Bitcoin difficulty level hovers near 127.45 trillion following recent adjustments because the upward moves of about 1.3% that occurred amid the rebound help stabilize block intervals close to the target ten minutes.
The network recovered.
Difficulty hit 127.45T on September 13, 2026. It grew 1.31% on September 5. In early 2026, difficulty rose 15% to 144.4T in February before decreasing to 133.79T in March and settling near 138.97T in April. In China, the Sichuan provincial energy regulator met with power companies last week. Mining companies must prepare to leave the province by September. This local government decision conflicts with the central government mandate to crack down on mining. The rainy season in Sichuan reaches its peak from June to September and provides hydro-electricity. I find the regulatory inconsistency in Sichuan absolutely infuriating. China holds 12% of the global hashashrate.
| Metric | Value |
|---|---|
| BTC Price | $77,133 |
| Current Difficulty | 127.45T |
| US Hashrate Share | 37.38% |
| Russia Hashrate Share | 17% |
| China Hashrate Share | 12% |
Global hashrate distribution
The United States leads with 37.38% of the global hashrate. Russia holds 17%. Paraguay uses surplus electricity from the Itaipu Dam. Miners in these regions use different strategies. Most miners favor regions with stable and affordable power.
Texas and Wyoming attract miners due to flexible grids and access to cheap energy. Hydro-cooled hardware reaches efficiency levels of 9.5 J/TH. The network remains competitive. Bitmain and MicroBT produce machines like the Antminer S21 XP, which achieves 270 TH/s at 13.5 J/TH. Bitcoin block rewards consist of 3.125 BTC plus transaction fees. These fees make up 10-15% of total miner income under normal conditions. Post-halving economics changed the landscape after the April 2024 reduction of the subsidy to 3.125 BTC. For public miners, the average production cost per bitcoin increased to around $37,856 from about $16,800 before the halving. In 2026, hashprice dropped to approximately $23-$28 per PH/s per day. The network consumes an estimated 350-420 GWh/day or roughly 128 TWh/year. I conclude the network shows significant resilience. Will the migration to North America and Russia fully offset the Chinese volatility?
