Bitcoin Faces Biggest Mining Difficulty Decline Since 2011

Bitcoin price action stays quite stable as the network automatically takes care of higher fees and slower block times. Today, the Bitcoin network witnessed its biggest negative difficulty adjustment in nearly ten years as the blockchain impeccably takes care of itself.

Data from BTC.com shows that the BTC mining difficulty automatically got readjusted by sixteen percent, today.

Approximations had earlier suggested that the adjustment would be nearly thirteen percent. However, it was the 2nd highest in history. It was only in 2011, that the network witnessed a larger difference, i.e. eighteen percent, which also came at the end of October.

It is to be noted that difficulty adjustments take place automatically every 2016 blocks, and permit Bitcoin to stay as “hard” money notwithstanding any outside factors bearing upon the miners. Such a reduction incentivizes more BTC miners to contend for block subsidy rewards, with the outcome that the difficulty then starts to escalate again.

For users, the downward tuning will decrease fees and reduce block times, along with dropping the magnitude of unmined transactions in BTC’s mempool. As per approximations from Earn.com, the optimal BTC transaction fee stays high, at eighty thousand satoshis (around eleven USD).

At the time of reporting, diminutive impact was visible on BTC’s price performance, with $13,000 level working as a major support and BTC/USD hovering around the crucial of thirteen thousand five hundred USD.