The difficulty of mining Bitcoin, which represents the ease by which miners can create new blocks, yesterday dropped by 9.29%, The Block has reported.
As a result, the indicator fell to 13.7 trillion at block 633,024. It is worth mentioning this is the second largest drop in 2020 and the fourth fall of the year. The largest drop in 2020 took place on March 26, when the difficulty plummeted by 15.9%.
On May 20, just a few days after the May 11 Bitcoin halving, when the reward given to miners for mining a block was reduced from 12.5 BTCs to 6.25 BTCs, mining difficulty fell by 6%.
Experts believe the drop in mining difficulty is a clear sign that a large number of miners are giving up the activity. This is not a surprise, since after the reduction of the reward they receive for mining a block, crypto mining is no longer a profitable business for a large number of miners, especially those who use old equipment or those who operate in countries where the cost of electricity is high.
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