Difficulty does not affect the price at all. Bitcoins are produced at a more-or-less stable rate regardless of the amount of mining competition.
In fact, before hashrate was that high a lot of investors' money was going into mining, not to exchanges (30% growth every 10 days over the last 6-7 months). As mining becomes more and more competitive, less money will go there and more to BTC holders, thus moving the price drastically.
In fact, before hashrate was that high a lot of investors' money was going into mining, not to exchanges (30% growth every 10 days over the last 6-7 months). As mining becomes more and more competitive, less money will go there and more to BTC holders, thus moving the price drastically.
Edit: typos and more clarity.