The Difficulty of Mining Bitcoin Drops the Most in the Past 12 Months

The mining difficulty for Bitcoin (BTC) has recently experienced its biggest drop in a year, assisting miners in becoming more profitable during this challenging crypto winter.

Today, there was a 5% decrease in the difficulty of mining bitcoins, which is a measure of how challenging it is to compete for mining rewards. It now stands at 27.69 T, which was last reached in mid-March of this year.

Notably, the difficulty was just 13.67 T on July 18, 2021, the last time it dropped this close to a percentage. The network had already experienced a dramatic decline of about 28 percent two weeks ago, which remains the biggest decline in network history.

The most recent adjustment represents the third consecutive decline, while the prior increase was 1.29 percent in early June, when the mining difficulty reached its second-highest level ever, 30.28 T. The record high was 31.25 T, recorded in the middle of May.

Since the last difficulty adjustment two weeks ago, hash rate, or the network's computing power, has decreased. According to data from BitInfoCharts.com, the 7-day moving average hash rate for this time period is down more than 7%.

Contrarily, when the price of BTC increased over that time, the profitability of bitcoin mining increased by 13%.

According to ByteTree data, miners have spent more of their recently minted BTC than they have kept over the last week and the previous three months.

All of this occurs during an especially challenging harsh winter. Having said that, at 18:51 UTC, BTC was trading at USD 22,846, up 13% over the previous week but down 4% over the previous day.