Yeah - I just saw this morning - prices went from .85 GHS to .9 GHS - still every good. Can someone tell me why it went up? I guess I'll just hold onto the bitcoin payouts for now...waiting for it go down before I reinvest.
well we all know network hash rate goes up and difficulty goes up. So a 50% difficulty rate lowers the price on your hashing gear more then a 40% difficulty rate.
So when you buy lets say 10Gh 1 hour after the difficulty change the price should be high and when you buy closer to the next difficulty change price should drop.
But it is not that simple. People clock the diff rate and think it will be 30% or 40 % or 50 % .
So if I have 1000 gh at .10 and I am 4 day away from the next rate and I think the rate will be 50% in my mind the 1000 will drop to .05 btc
If I have 1000 gh at .10 and I am 4 days away from the next rate and I think the rate will be 30% in my mind the 1000 will drop to .07 btc
So a few days ago the guess must have been rate change would be huge maybe 55% and lots of people dumped shares price was under .08
Now that we are 6 hours away people see the rate will be more like 42% so price moved up. I believe the share price of this company will be very uncertain at the half way point of a rate adjustment. Lets say days 5,6,7 out of the 12 day period between adjustments.
Also usd price has some meaning. 10 gh at .1 btc = 1 btc . 1 btc = 200 usd
if btc changes from 200 usd to 180 usd I think the gh price gets bumped up just a bit.
Thanks bud,
That's a great explanation - I wonder if I should reinvest by cloud mining or should I keep the BTC?? What would you recommend and when should I consider one over the other.