klondiff
klondiff is an enhanced diff tool designed to prioritize readability over
minimal diff size. It builds upon the Patience diff algorithm but improves it
by significantly reducing the influence of whitespace changes and repeated
characters (such as =========), which typically clutter standard diff output
and make it harder to identify actual changes.
One of klondiff's key strengths is its intelligent line-matching algorithm that neglects short lines, preventing incorrect line matches that often occur with brackets or other minimal content. The tool also interleaves blocks with changes to make line differences more visually apparent and easier to comprehend.

For visual clarity, klondiff provides color-coded highlighting: unchanged portions of modified lines are displayed in gold, and indentation changes are highlighted with colored backgrounds. This layered visual approach helps users quickly identify which specific parts of a line have changed versus which remain the same.
Basic usage
klondiff file1.txt file2.txt
git diff | klondiff