Bitcoin Price Falls, Mining Rigs Sell #Bitcoin #Price #Falls #Mining #Rigs #Sell Welcome to JibGlobe, here is the new resources we have for you today:
One reason why miners often pay close attention to bitcoin’s price is because mining machines have a strong positive correlation to its fluctuations. And as bitcoin’s dollar-denominated value has dropped precipitously this month, mining hardware prices followed.
At its recent lows, bitcoin was trading near $17,000, a drop of over 60% year to date. Over the same period, prices for the most efficient mining machines fell by 41%, as detailed below.
Observing the relationship between prices for bitcoin and bitcoin mining machines offers useful insight into the mining sector’s reaction to bitcoin price volatility and timing for accumulating discounted hardware.
This article overviews current market pricing data for bitcoin mining machines, its correlative relationship to bitcoin itself, and discusses how and when miners might consider engaging with the summer hardware selloff as buyers.
Inside The Latest Bitcoin Mining Hardware Pricing Data
The most- and least-efficient tranches of mining hardware have seen the smallest year-to-date price declines, according to market data curated by Luxor Mining. Machines with efficiencies above 38 joules per terahash (J/TH) and below 68 J/TH have seen roughly 40% declines since January. Over the same period, bitcoin has dropped roughly 60%.
Even though recent price declines for bitcoin and some mining machines have been similar on a percentage basis, the downward trends did not start or progress fully in sync with each other. The line chart below shows two peaks in bitcoin’s price during April 2021 and November 2021. Readers will notice that prices for the mining machines (data shown for the top-two efficiency tiers) didn’t peak until roughly a month later in both cases.