Seems wrongheaded to me; that's the same reason Elm wanted you to write arrays like this:
[item1
,item2
,item3
,item4
]
instead of a sane way. It means adding or removing an element only changes one line in the diff!Who cares? It's not hard to understand what's happening in a diff that makes this kind of change. You want the code to be easy to read, not easy to diff.
You could also easily base your diff algorithm on a lexer for the language rather than a lexer for ascii, in which case changing the amount of whitespace would register as "not a change".