- China-based SparkPool and Beepool recently suspended operations to comply with Beijing's new regulatory policy on crypto.
- Ethereum proponents await Ethereum's migration to PoS as the sale of mining equipment is now banned by e-commerce platforms like Alibaba.
- Cryptocurrency exchanges, mining firms and equipment sellers are rolling back services for users in Mainland China.
Ethereum mining pools that control over 26% of Ether's hashrate suspend operations in Mainland China and overseas. Ethereum’s migration to PoS is likely to lessen the impact of China’s crypto clampdown on Ether’s price.
Mining pool shut down likely to affect ETH price
China's announcement of a ban on cryptocurrency and related activities and services has triggered the shutdown of mining pools that control over 25% of Ether's hashrate. The following chart shows the top 25 miners by blocks in the Ethereum network.
Top 25 Ethereum mining pools by blocks
SparkPool and Beepool, the second and fourth-largest mining pools respectively, announced that they are suspending operations a few hours apart.
— SparkPool (@sparkpool_eth) September 27, 2021
By the end of the month, SparkPool, is shutting down its operations both in China and worldwide.
Since "The Great Hashrate Migration" in the Bitcoin network (when China shut down all mining pools) had a negative impact on the top cryptocurrency's price, the community expects the ETH price to be compromised.
Slashing 26% of Ethereum's hashrate will likely drive the altcoin's price lower until "The Merge" kicks in. Ethereum proponents are awaiting the shift from the Proof-of-Work consensus mechanism to Proof-of-Stake.
Once the Ethereum network adopts PoS, miners become irrelevant, and a ban on the sale of mining equipment on e-commerce platforms like Alibaba ceases to impact the altcoin's price.
Pseudonymous cryptocurrency investor and trader @CHalexov2016 commented on the shift to PoS.
Well done! #Ethereum will also ban POW soon! Its why all who seing in future see #Ethereum overtake #BTC ! All world goverments will staet to press hardcore on mining and energy vaisting! POS is our future of #Blockchain ! #Ethereum & #Polkadot win hardcore over #Bitcoin https://t.co/0IkOQ3qX8v
— Chalexov.eth ❤️ (@CHalexov2016) September 28, 2021
FXStreet analysts have evaluated the altcoin, Ethereum price is expected to face an ugly outlook unless ETH hits $3000.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Crypto fraud soars as high-risk addresses on Ethereum, TRON networks receive $278 billion
The cryptocurrency industry is growing across multiple facets, including tokenized real-world assets, futures and spot ETFs, stablecoins, Artificial Intelligence (AI), and its convergence with blockchain technology, as well as the dynamic decentralized finance (DeFi) sector.
Bitcoin eyes $100,000 amid Arizona Reserve plans, corporate demand, ETF inflows
Bitcoin price is stabilizing around $95,000 at the time of writing on Tuesday, and a breakout suggests a rally toward $100,000. The institutional and corporate demand supports a bullish thesis, as US spot ETFs recorded an inflow of $591.29 million on Monday, continuing the trend since April 17.
Meme coins to watch as Bitcoin price steadies
Bitcoin price hovers around $95,000, supported by continued spot BTC ETFs’ inflows. Trump Official is a key meme coin to watch ahead of a stakeholder dinner to be attended by President Donald Trump. Dogwifhat price is up 47% in April and looks set to post its first positive monthly returns this year.
Cardano Lace Wallet integrates Bitcoin, boosting cross-chain capabilities
Cardano co-founder Charles Hoskinson announced Monday that Bitcoin is integrated into the Lace Wallet, expanding Cardano’s ecosystem and cross-chain capabilities. This integration enables users to manage BTC alongside Cardano assets, providing support for multichain functionality.
Bitcoin Weekly Forecast: BTC consolidates after posting over 10% weekly surge
Bitcoin (BTC) price is consolidating around $94,000 at the time of writing on Friday, holding onto the recent 10% increase seen earlier this week.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.