What Is Block?
A block is a container that bundles multiple transactions together into a single unit that is added to the blockchain. Each block contains: a header (with the previous block's hash, timestamp, nonce, and Merkle root), a list of validated transactions, and the block reward for the miner/validator who created it.
How Block Works
Blocks are produced at regular intervals determined by the network: Bitcoin targets one block every 10 minutes, Ethereum produces one every ~12 seconds. Block size or gas limits constrain how many transactions fit in each block. When demand exceeds block capacity, a fee market develops where users bid for inclusion — higher fees get priority.
Why It Matters for Traders
Block production metrics are important for traders: block time affects transaction confirmation speed (relevant for arbitrage and time-sensitive operations), block fullness indicates network demand (full blocks = high fees and active market), and block rewards represent the new supply entering the market (relevant for miner sell pressure analysis).