Bitcoin Mining Difficulty Falls Amid Record Hashrate Surge
Bitcoin mining difficulty eased 2.7% to 146.7 trillion after the network reached an all-time high hashrate of 1.2 quadrillion hashes per second on October 21, 2025. Despite this temporary relief, CoinWarz forecasts difficulty will climb back above 154 trillion on October 29, increasing competition for block rewards. Rising hashrate signals more computing power securing the Bitcoin network. Yet higher difficulty squeezes mining profitability amid trade tariffs and supply-chain constraints. Equipment costs remain elevated under US–China tensions. To offset tighter margins, miners such as Core Scientific, Hut 8 and IREN are reallocating capacity to AI data centers and high-performance computing. Traders should watch Bitcoin mining difficulty and hashrate trends for signals on miner selling pressure and network security.
Neutral
Temporary dip in Bitcoin mining difficulty offers brief relief to miner profitability, but the anticipated rise above 154 trillion will intensify competition for block rewards. Record hashrate underscores network security but increases operational costs. These offsetting factors suggest a neutral impact on Bitcoin’s price. Short term, miners may reduce coin sales due to improved profitability, slightly supporting price. Long term, higher difficulty and costs could prompt equipment sell-offs or increased mining expenses, balancing any bullish pressure. Overall, market effects are mixed, leading to a neutral outlook.