Bitcoin mining difficulty falls below year-ago levels for only the second time ever

Bitcoin's mining difficulty slipped 0.74% in its latest adjustment to 126.23 trillion, putting it 1.1% under the 127.62 trillion recorded a year earlier, CoinDesk reported on Aug. 1. It is the second time in the network's history that difficulty has been lower than it was twelve months prior. The first was after China banned mining in 2021, an event that knocked out roughly half the network's computing power before miners relocated and difficulty recovered.

Difficulty readjusts every 2,016 blocks — about two weeks — to hold average block times near 10 minutes. A falling number means less hashpower was competing in the prior period, which mechanically improves economics for whoever is still plugged in.

The current level is 19.1% below the all-time high of 155.97 trillion set in November 2025, and about 14% below this year's peak, reached in January. CoinDesk, citing network data, traces the slide through a 10% drop in June and a further 5% earlier in July.

On causes, the outlet points to Luxor's Hashrate Index, which attributes the decline to falling bitcoin prices, compressed mining revenue, and capital, power and operators being redirected toward AI and high-performance computing. Curtailments in Texas and unspecified disruptions elsewhere also contributed. No bitcoin price level, hashrate figure or named operator was given.

The relief for surviving miners looks thin. Hashprice — expected revenue per unit of computing power — bottomed at $27.66 per petahash per day in late June, within a cent of its February low, per Hashrate Index. It has since recovered to $31.70. Luxor's forward market prices an average of $31.85 per petahash per day through December, which CoinDesk reads as miners expecting little revenue recovery through the rest of 2026.

Key facts

• Difficulty: 126.23 trillion after a 0.74% downward adjustment; 1.1% below the year-earlier 127.62 trillion (CoinDesk, Aug. 1, citing network data)
• Down 19.1% from the 155.97 trillion record set November 2025; ~14% below the January 2026 peak (CoinDesk)
• Prior declines of 10% in June and 5% earlier in July (CoinDesk/network data)
• Hashprice low of $27.66/PH/day in late June, now $31.70; forward average $31.85/PH/day through December (Luxor Hashrate Index)
• Only prior year-over-year decline followed China's 2021 mining ban (CoinDesk)

The real-world read

Nearly every analytical claim here — the causes, the hashprice series, and the forward curve — comes from Luxor, a mining-services firm that operates the hashprice forward market it is quoting. That is the best public data available, but it is not a disinterested party pricing its own product.

The "modestly above" framing on the forwards is doing work: $31.85 versus $31.70 spot is a 0.5% premium, which is flat, not a modest improvement. And the arithmetic deserves a squint — a 10% June decline plus 5% in July compounds to roughly 14.5%, so the "14% from January" figure is consistent but leaves no room for the extra 0.74% just recorded.

Conspicuously absent: which operators actually cut, how much hashrate left the network in exhahashes, what price bitcoin is trading at, and what "disruptions in other mining regions" means. Separately, CoinDesk's page carried a Binance-sponsored "case study" promoting the exchange's expansion into RWAs and payments. That is marketing, not reporting, and it played no part in this story.

Opinion, and whose

• Luxor's Hashrate Index: the drop is driven by weak prices, compressed revenue and capital rotating into AI/HPC.
• CoinDesk: the forward curve implies miners expect little revenue recovery for the remainder of 2026. Both are interpretations, not settled fact.

Sources

• CoinDesk (Aug. 1, 2026) — difficulty levels, historical comparisons, adjustment history; itself citing network data and Luxor's Hashrate Index. Sole outlet for this story; no corroborating report available.
• Luxor Hashrate Index (via CoinDesk) — hashprice spot and forward figures, causal attribution. Interested party: Luxor sells mining services and runs the forward market cited.
• Binance "CEX landscape" case study (sponsored, appeared alongside the CoinDesk item) — marketing; not used.

Nothing here is financial advice.