Difficulty is increasing, the price is falling. Why aren't miners shutting down their equipment? - explains ViaBTC - ForkLog: cryptocurrencies, AI, singularity, the future

# Difficulty increases, price drops. Why don’t miners turn off their equipment? ViaBTC explains.

February 2026 was a stressful period for miners: Bitcoin’s price dropped to $60,500, and after a brief decrease, mining difficulty increased by 14.73%.

Together with the ViaBTC mining pool team, we analyze why the network’s hash rate continues to grow even at low prices and how miners cope with unprofitable periods.

How the difficulty recalculation works

Bitcoin mining difficulty is a parameter that determines how much computational work is needed to find a new block. The network recalculates it every 2016 blocks (about every two weeks) to keep the average block time close to 10 minutes.

If the hash rate increases, difficulty goes up. If miners turn off equipment, difficulty decreases. This mechanism functions as a self-regulating system: the more participants mining Bitcoin, the harder it becomes, and vice versa.

Current difficulty and the forecast for the next recalculation can be tracked on the ViaBTC mining pool page in the relevant section.

On February 7, the difficulty dropped by 11% — many expected the trend to continue. The logic is simple: at low prices, miners with high electricity costs should turn off equipment, hash rate should fall, and difficulty should follow. But on February 19, the opposite happened: a 14.73% increase completely offset the previous decline.

Source: mempool.space.## Reasons for hash rate growth

In January, a cyclone caused widespread power outages in the US. As a result, many mining farms with lower-priority electricity supplies shut down. The difficulty decrease on February 7 was a consequence of this forced pause.

Meanwhile, most large miners pay for electricity in advance via futures contracts with suppliers. Until the purchased kilowatt-hours are used, keeping equipment turned off is economically pointless, so after power supply was restored, idle capacity returned to operation.

The second reason for the hash rate increase is the supply of new equipment. Major buyers order ASIC miners months before delivery. For example, equipment paid for in summer 2025 (like Antminer L11 for Litecoin and Dogecoin mining) began arriving from factories in thousands of units in December 2025 — January 2026. During the period 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 costs are already incurred, and each day of downtime increases losses.

How miners survive during low prices

Some companies burn through their 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 costs while waiting for future profits.

For small and medium market participants, one way to survive downturns is crypto loans secured by coins. For example, ViaBTC’s service allows pledging BTC, BCH, LTC, or DOGE to receive USDT for current expenses: electricity, rent, salaries. The coins remain in collateral, and when the price recovers, miners can sell them at a better rate.

The loan amount is 50–60% of the collateral’s market value. There is no fixed repayment term — interest accrues daily, and repayment is only for the actual period of use. If the collateral’s price rises, some coins are automatically unlocked.

What to expect from the next recalculation

The current situation shows that there is no direct correlation: “price drops — difficulty decreases.” Multiple factors influence hash rate simultaneously: weather conditions, equipment supply schedules, energy contract structures, and access to financial instruments.

As manufacturers continue shipping new ASIC miners and companies operate under advance electricity contracts, hash rate will grow even at low prices. Difficulty can only decrease during a prolonged price decline — when reserves are exhausted and paid kilowatt-hours are used.

For miners aiming to earn rewards based on current difficulty, it’s important to choose reliable pools. ViaBTC adjusts rewards every 2016 blocks — in strict accordance with the Bitcoin protocol. Previously, ForkLog detailed the mechanics of crypto loans for miners.