Bitcoin Miners Are Preparing for An Upcoming Difficulty Increase

This week will see another difficulty adjustment for Bitcoin (BTC) miners as the amount of computing power needed to create new currency approaches a record high.

The difficulty level is anticipated to increase from 43.05 T to 44.46 T with the upcoming difficulty adjustment, which is anticipated to take place on Friday, March 10.

With the anticipated rise, mining fresh Bitcoin will become much more challenging. This is despite the fact that the difficulty level has been steadily increasing since the second half of 2022, when it reached an all-time high.

The largest publicly traded Bitcoin miner, Riot Blockchain, released results earlier this month that showed the company lost more than $500 million on its mining business in 2022. While producing far more BTC in 2022 than it did in 2021, the loss was substantially more than the $15.4 million loss the company recorded for 2021.

It's unclear how Riot and other significant mining companies will respond to this year's continuous increase in Bitcoin mining complexity and the growing cost of electricity.