Friday, January 21st 2022
Bitcoin Drops Below the $40,000-mark, Raises Hopes of Graphics Card Availability
The most popular cryptocurrency by market-cap, Bitcoin, has dropped in value to below the USD $40,000-mark, to $38,429 as of this writing. This amounts to a whopping 43% drop in value from its November 2021 peak of roughly $67,600. Ethereum has also seen an 8% fall over the past 24 hours, as has the value of several other cryptocurrencies. While we won't get into the nuts and bolts of Bitcoin volatility or hand out any financial advice, this could have an impact on graphics card availability owing to a multitude of reasons.
As of this writing, we see the GeForce RTX 3080 commanding a scalper price of roughly $1,500 (brand new), for the LHR variant (lower crypto-mining performance), while non-LHR cards that are used, start around $1,900. If the fall in cryptocurrencies continues, we could see increased availability of used graphics cards from crypto miners, as gamers would be willing to buy a used RTX 30-series or RX 6000 series graphics card that's still within its warranty period (of 2 years).Sales of used cards by miners will apply pressure on scalpers hording new cards to cut prices, more so as they'd be trying to sell newer batches of RTX 30-series cards that are LHR. Add to all this, the next-generation crypto-mining ASICs are on the anvil, including Bitmain's Antminer S19 XP, and Intel's "Bonanza Mine" ASIC that the company plans to unveil next month. The arrival of ASIC miners usually triggers an increase in the mining difficulty algorithm, which should worsen the performance/Dollar of GPUs in mining applications. The compound effect of all these, we predict, could briefly improve graphics card availability in 1H-2022. A continued fall in the value of cryptocurrencies will only accelerate this.
As of this writing, we see the GeForce RTX 3080 commanding a scalper price of roughly $1,500 (brand new), for the LHR variant (lower crypto-mining performance), while non-LHR cards that are used, start around $1,900. If the fall in cryptocurrencies continues, we could see increased availability of used graphics cards from crypto miners, as gamers would be willing to buy a used RTX 30-series or RX 6000 series graphics card that's still within its warranty period (of 2 years).Sales of used cards by miners will apply pressure on scalpers hording new cards to cut prices, more so as they'd be trying to sell newer batches of RTX 30-series cards that are LHR. Add to all this, the next-generation crypto-mining ASICs are on the anvil, including Bitmain's Antminer S19 XP, and Intel's "Bonanza Mine" ASIC that the company plans to unveil next month. The arrival of ASIC miners usually triggers an increase in the mining difficulty algorithm, which should worsen the performance/Dollar of GPUs in mining applications. The compound effect of all these, we predict, could briefly improve graphics card availability in 1H-2022. A continued fall in the value of cryptocurrencies will only accelerate this.