#TradingAnalysis101 Mining cryptocurrency, especially bitcoin, requires significant energy resources. Political decisions in the energy sector can influence the market:
Bans on mining in regions with cheap electricity (for example, China in 2021) lead to the migration of miners to other countries and temporary fluctuations in the network's hash rate.
Green energy policies can encourage miners to switch to renewable energy sources, which, in turn, affects public perception of cryptocurrencies as environmentally sustainable assets.
