In August 2025, Bitcoin mining difficulty reached a record 127.6 trillion, indicating the continued growth of computing power that ensures the security of the network.
Despite the increased technical difficulties, miners’ profits continue to grow. Analysts believe this rare occurrence could indicate a new phase in the Bitcoin (BTC) market cycle.
Bitcoin mining difficulty has reached a record
The next mining difficulty adjustment, scheduled for August 9th, is expected to slightly reduce this figure to approximately 124.71 trillion. The purpose of the adjustment is to increase the block speed from 10 minutes 23 seconds to 10 minutes.
Periodic resets are important for the stability of Bitcoin. They maintain stable release and network operation despite hashrate fluctuations.
The anomaly, however, is that the higher mining difficulty did not reduce the margins for miners. On the contrary, network data shows that miner income peaked after the halving at $52.63 million per exahash per day.
“Bitcoin miners’ daily income is $52.63 million, down from $56.35 million yesterday and up from $25.64 million a year ago. This is a change of -6.61% compared to yesterday and 105.3% compared to a year earlier,” ychart.com analysts reported.
This is an important signal, given rising energy prices and increasing competition in mining. In a recent post, Blockware Intelligence, a Bitcoin mining analytics firm, highlighted this discrepancy.
“Bull case for Bitcoin mining? BTC/USD is growing faster than mining difficulty. Over the past 12 months: > BTC/USD +75% > Mining difficulty: +53%. Bitcoin miner profitability is increasing,” the company said in a recent post.
Rising profits signal a bullish reversal
Historically, when the price of Bitcoin rises faster than mining difficulty, it occurs during the early stages of bull market cycles. Similar patterns were seen in 2016 and mid-2020, which preceded significant price rallies.
The profit growth reflects the dynamics of demand: the current Kimchi premium in South Korea is +0.6%, which indicates high interest in BTC in the region. The Kimchi premium is the difference in price between local exchanges and global markets.
Coupled with the introduction of more efficient ASIC devices and increasing institutional investment in mining, this indicates a healthy sector and optimism for the future of Bitcoin.
Also, don’t forget about the BTC shortage. More than 94% of the 21 million coins have already been mined, and the stock-to-flow ratio is about 120—double that of gold. The scarce nature of cryptocurrency protects it from inflation and depreciation of money, even with short-term price fluctuations.
However, the market has not yet taken into account the improvement in the fundamental indicators of the network. After the July highs, Bitcoin fell below $115,000, indicating a temporary gap between the technical state of the network and investor sentiment.
Analysts attribute the divergence to macroeconomic difficulties, trade policies and changes in capital flows. Meanwhile, miners appear to be ahead of the market. Increasing difficulty, increasing margins and strong regional demand could be a turning point in the mining economy and Bitcoin cycle. If history repeats itself, the strengthening of the network could soon be reflected in the price.
