All About BTC, LTC, ETH mining as well as other alternative crypto currencies
After the announcement of the Dogecoin and Litecoin merged mining a few days ago we’ve seen some interesting development. The DOGE network hashrate and thus the difficulty has literally skyrocketed as most of the hashrate from the LTC network has been added to the DOGE as people moved to pools with merged mining support. Most of the people mining DOGE directly have also moved to merged mining as with the serious increase of Dogecoin difficulty it became pointless to directly mine for it instead of mining in a pool with support for AuxPow. In fact the AuxPow support for DOGE means that you can merge mine it not only with Litecoin, but with other Scrypt crypto currencies as well, but the main focus of course is merged mining with LTC as there the network hashrate is the highest.
With the spike of difficulty it was expected that the price of the DOGE should rise and some people used that to speculate and do a pump up to about 90 Satoshi and then dumped bringing down the price to about 50 Satoshi. Now however the price has kind of stabilized already at a level of about 70 Satoshi, so we can say that there is a significant increase of the price meaning there is still serious interest in DOGE and the merged mining has actually done more to revive it than to kill it as some pessimists claimed. Still we are about to see what will happen on the long term, but now things seem to be stabilizing after the initial peak of interest. The effect from the merged mining that we are seeing already on the LTC side is that the difficulty has started to increase rapidly, or at least that was observed with the last difficulty adjustment. The Litecoin network difficulty has increased with almost 17% due to the spike of interest and people mining for DOGE and other Scrypt crypto currencies moving to direct LC mining with merged mining support for DOGE. This huge spike in difficulty however should most likely be a single event and we are probably going to see things moving at a slower pace in the next few days.