February 2026 has been a stressful time for miners: Bitcoin's price dropped to $60,500, while mining difficulty surged by 14.73% after a brief decline.
Along with the team from the mining pool ViaBTC, we explore why the network's hash rate continues to rise despite low prices and how miners cope with unprofitable periods.
How Difficulty Adjustment Works
Bitcoin mining difficulty is a parameter that determines how much computational work is needed to find a new block. The network recalculates this every 2016 blocks (approximately every two weeks) to keep the average block time close to 10 minutes.
If the hash rate increases, difficulty rises. If miners shut down their equipment, difficulty decreases. This mechanism functions as a self-regulating system: the more participants mining Bitcoin, the harder it becomes, and vice versa.
The current difficulty and the forecast for the next adjustment can be tracked on the ViaBTC mining pool page in the relevant section.
On February 7, the difficulty dropped by 11% — many expected this trend to continue. The logic is simple: with low prices, miners facing high electricity costs should shut down their equipment, leading to a decrease in hash rate and subsequently in difficulty. However, on February 19, the opposite occurred: a 14.73% increase completely offset the previous drop.
Source: mempool.space.Reasons for Hash Rate Increase
In January, a cyclone caused widespread power outages in the U.S. As a result, many mining farms, which receive electricity with the lowest priority, had to shut down. The difficulty drop on February 7 was a consequence of this forced pause.
Most large miners pay for electricity in advance through futures contracts with suppliers. As long as the purchased kilowatt-hours remain unused, keeping the equipment off is economically unfeasible. Therefore, once power was restored, idle capacities resumed operations.
The second reason for the hash rate increase is the delivery of new equipment. Large buyers order ASIC miners months in advance. For instance, equipment paid for in the summer of 2025 (such as Antminer L11 for mining Litecoin and Dogecoin) began arriving in large quantities from factories in December 2025 and January 2026. During the time between ordering and receiving, buyers prepared sites, laid communications, and hired staff.
In this situation, owners have no choice but to turn on their machines and start recouping their investments, regardless of the current Bitcoin price. Capital expenditures have already been incurred, and each day of inactivity increases losses.
How Miners Survive During Price Dips
Some companies burn through previously accumulated reserves during such periods. However, public miners have complex corporate structures: issuing shares and cross-ownership allow them to attract investor funds to cover operational expenses while waiting for future profits.
For small and medium-sized market participants, one way to survive a downturn is through crypto loans secured by coins. For example, ViaBTC's service allows users to pledge BTC, BCH, LTC, or DOGE to receive USDT for current expenses such as electricity, rent, and salaries. The coins remain in collateral, and when prices recover, miners can sell them at a better price.
The loan amount is 50–60% of the market value of the collateral. There is no fixed repayment term — interest accrues daily, and payment occurs only for the actual usage period. If the price of the collateral assets rises, part of the coins is automatically unlocked.
What to Expect from the Next Difficulty Adjustment
The current situation shows that there is no direct correlation between "price drops — difficulty decreases." Several factors simultaneously influence the hash rate: weather conditions, equipment supply schedules, energy contract structures, and access to financial instruments.
As long as manufacturers continue to ship new ASIC miners and companies operate under advance electricity contracts, the hash rate will keep rising even with low prices. Difficulty reduction is only possible during prolonged price declines — when reserves are depleted and purchased kilowatt-hours are consumed.
For miners who want to earn rewards considering the current difficulty, it is important to choose reliable pools. ViaBTC adjusts rewards every 2016 blocks — in strict accordance with Bitcoin's protocol. Previously, ForkLog detailed the mechanics of crypto loans for miners.