[waleedka]

I think you got it backwards. Which seems to be a fairly common mistake because, intuitively, we tend to associate the amount of work to the amount of value.

In Bitcoin, and other PoW blockchains, the protocol dynamically adjusts the difficulty of mining a new block such that it requires more work if there are more miners. Which also means that it requires less work if there are fewer miners, which is why it was easy to mine Bitcoin on a laptop in the early days but now it requires specialized hardware.

The causality path works like this: Price of the coin goes up -> it becomes more profitable to mine -> more miners jump in -> difficulty goes up -> cost of mining increases. This continues until there is an equilibrium.