Bitcoin’s price may be experiencing a period of consolidation, but beneath the surface, its underlying network is demonstrating unprecedented strength. The blockchain has shattered a significant technical barrier, with its average hash rate sustainably exceeding 1 zettahash per second (ZH/s) for the first time in history. This monumental achievement highlights a powerful trend of increasing computational security, raising questions about its potential impact on the cryptocurrency’s future valuation.
Unprecedented Security and Upcoming Difficulty Adjustment
The network’s seven-day average hash rate consistently surpassed the 1 ZH/s threshold in early September 2025, after only briefly touching this level previously. Current data indicates the processing power has climbed even higher to approximately 1.279 ZH/s. This sustained growth reflects continuous capital investment into mining infrastructure worldwide. Consequently, analysts project one of the most substantial mining difficulty adjustments of the year, estimated to increase by over 7%.
Long-Term Conviction Trumps Short-Term Selling Pressure
On-chain analytics present a compelling narrative of holder conviction that contradicts stories of widespread selling by early adopters. Investors who have held their Bitcoin for 7 to 10 years now control 8.1% of the total supply, representing the largest share since 2019. Furthermore, a significant 17% of all coins have remained dormant in the same wallets for more than a decade, with this figure continuing to trend upward, signaling profound long-term belief in the asset.
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Institutional Participation Shows Mixed but Steady Signals
While Bitcoin exchange-traded funds (ETFs) have experienced fluctuating inflows and outflows, institutional engagement remains robust. Major traditional finance firms continue to develop and expand infrastructure for Bitcoin exposure. However, a cautious stance persists among some institutions, primarily due to uncertainty surrounding potential interest rate changes by the U.S. Federal Reserve.
Price Action and Key Technical Levels
Following recent peaks near $117,000, Bitcoin is currently consolidating within a range between $110,000 and $112,000. Market strategists have identified a crucial support band between $107,000 and $108,900. A successful defense of this zone could pave the way for a test of higher resistance levels, with price targets emerging in the $113,600 to $115,000 range.
The central question for traders is whether this record-breaking network strength can provide the necessary momentum for Bitcoin to overcome its typical seasonal weakness in September and embark on a new upward trajectory.
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