Bitcoin mining profit crisis hits as difficulty to drop by 14% this weekend while block time spikes to 20 minutes

Bitcoin's network stability is being tested as average block times have recently spiked significantly above the 10-minute target, reaching nearly 20 minutes, indicating that miners are curtailing hashpower due to thin margins, likely driven by price drops and operational costs. This slowdown precedes the next difficulty adjustment, expected around February 8, 2026, which trackers estimate could cut mining difficulty by a sharp 14% to 18%. Such a large downward adjustment signals a significant recalibration of the mining economy, acting as a relief mechanism for remaining miners by increasing their relative earnings per hash rate. The situation highlights the ongoing pressure on miners, forcing them toward more flexible, power-aware operations, and the market is pricing in weaker profitability expectations for the near future. Ultimately, while the slow block times are a symptom of economic stress, the difficulty adjustment mechanism ensures the network continues functioning, absorbing the shock and resetting the system.

(Source：CryptoSlate)