Bitcoin hashrate drop linked to Iran war, creating market pressure

A surge in energy prices due to the war in Iran is causing a decline in the Bitcoin hashrate, putting pressure on both miners and the broader market, according to an analysis by CoinDesk. The network's hashrate fell by approximately 8% last week to around 920 EH/s. The report suggests this drop is likely tied to geopolitical tensions and the spike in oil prices resulting from the conflict, as about 8-10% of global Bitcoin mining occurs in markets sensitive to energy costs. As a result, Bitcoin's mining difficulty is expected to fall by up to 10%, which would be one of the largest downward adjustments in the last five years. CoinDesk also noted that a sharp decline in hashrate often coincides with periods of stress for miners and downward pressure on the price of Bitcoin.