Difficulty speculation

[senseless]

With difficulties more or less locked for the next 14-28 days. What do you think is going to happen once AMD starts pumping out the GPUs again?

Personally, I'm not going to buy any more cards. Concerned the difficulty is going to exceed profitability due to my high electrical cost.

Just waiting for the... "just bought $5k worth of video cards! they're only making $10 per month?" threads..

[1715235874]

1715235874

[poby]

I really don't understand people who are pouring 10s of thousands into this like they can make it to be more than a hobby.  The current profitability is a temporary glitch that will disappear by the end of the year.  For profits to continue anywhere near like they are now requires the price to keep rising at least the same rate as the difficulty.  Once the price stabilizes, profits WILL plummet and unless you have dirt cheap electric you will never get a ROI.

It's really that simple and straightforward.  For those with electric more than 10 cents a kw, who are thinking of putting together their first rig, do you consider it a hobby or do you seriously think it's gonna make you rich in the long term?  If the latter, what on earth makes you think prices will keep rising indefinitely??

I have money invested in cryptocurrencies.  That might make me rich in the long term.  I'm also putting together my first rig.  Purely for fun but with the hope that I might make enough to pay for the parts before it becomes uneconomic.  I rate my chances of break even to be 50/50.  I will be very surprised if I make much more than that.

I really wish there was something I'm missing that will prove me wrong.  But in the absence of such, the stark facts are inarguable.  When the rate of price increase drops below the rate of difficulty increase, profits will plummet.  Tulips don't appreciate forever and neither will cryptocoins.

[senseless]

I really don't understand people who are pouring 10s of thousands into this like they can make it to be more than a hobby.  The current profitability is a temporary glitch that will disappear by the end of the year.  For profits to continue anywhere near like they are now requires the price to keep rising at least the same rate as the difficulty.  Once the price stabilizes, profits WILL plummet and unless you have dirt cheap electric you will never get a ROI.

It's really that simple and straightforward.  For those with electric more than 10 cents a kw, who are thinking of putting together their first rig, do you consider it a hobby or do you seriously think it's gonna make you rich in the long term?  If the latter, what on earth makes you think prices will keep rising indefinitely??

I have money invested in cryptocurrencies.  That might make me rich in the long term.  I'm also putting together my first rig.  Purely for fun but with the hope that I might make enough to pay for the parts before it becomes uneconomic.  I rate my chances of break even to be 50/50.  I will be very surprised if I make much more than that.

I really wish there was something I'm missing that will prove me wrong.  But in the absence of such, the stark facts are inarguable.  When the rate of price increase drops below the rate of difficulty increase, profits will plummet.  Tulips don't appreciate forever and neither will cryptocoins.

I know a guy with 600 GPUs. It can be more than a hobby, but you need to look for low electrical cost, and think of the return in terms of 6-12 mo intervals. People who were already mining before the profitability increase are sitting pretty right now. You can always colocate. I know a place in sweden where I can get power and rackspace in 10KW increments for $750/mo (in an actual datacenter not a ghetto mining warehouse). The mining warehouses run a little cheaper around $60/KW but they don't want to deal with custom GPU solutions because it's a PITA as they don't put in PDUs with remote reboot functionality.

Also, my past experience has been that people quit buying GPUs once it takes 3-4 months to get a full return. The problem in the present situation is, people are gauging their buy on current profitability without taking into account the 100K other people doing the same thing. They'll all buy every AMD gpu they can get their hands on (people are even mining on 560s now) difficulty will go through the roof and no one will be mining at a profit. I expect to see a lot of RX570s and RX580s on ebay in the next 3-4 months.... This is a situation I've never seen before where there was an extreme shortage on mining equipment. When these kinds of situations happened with bitcoin it was different because there, the ASIC hardware rolled out in increments. None of those companies had/have the production power of AMD. The next million or so gpus that amd makes are all going to end up mining ethereum doubling the network hashrate and difficulty along with it.

[Nokia555]

600 GPU's epic 

[bobben2]

LOL  that made me laugh
Right now it looks more likely we will see posts like
"I got this old-ass mobo with pentium 133 and 1GB mem and am earning $$$$ with it " threads

[Ayers]

why people think the diff is locked now? i still see the diff increasing in all the coin on whattomine, and i can easily buy gpu on amazon, if i can everyone can, there is no shortage of gpu, there are plenty available

[boatznhoes]

why people thinkt he diff is locked now? i still see the diff increasing in all the coin on whattomine, and i can easily buy gpu on amazon, if i can everyone can, there is no shortage of gpu, there are plenty available

What? None of the good mining gpus are available on Amazon or anywhere else for the matter unless you want to pay 3 or 4 times retail.

[Ayers]

why people thinkt he diff is locked now? i still see the diff increasing in all the coin on whattomine, and i can easily buy gpu on amazon, if i can everyone can, there is no shortage of gpu, there are plenty available

What? None of the good mining gpus are available on Amazon or anywhere else for the matter unless you want to pay 3 or 4 times retail.

what you are talking about i see plenty of 1070 available https://www.amazon.co.uk/s/ref=nb_sb_noss_1?url=search-alias%3Daps&field-keywords=1070, many arrive on 12 june, which is not 28 days

[Sequoia93]

why people thinkt he diff is locked now? i still see the diff increasing in all the coin on whattomine, and i can easily buy gpu on amazon, if i can everyone can, there is no shortage of gpu, there are plenty available

What? None of the good mining gpus are available on Amazon or anywhere else for the matter unless you want to pay 3 or 4 times retail.

what you are talking about i see plenty of 1070 available https://www.amazon.co.uk/s/ref=nb_sb_noss_1?url=search-alias%3Daps&field-keywords=1070, many arrive on 12 june, which is not 28 days

Small miners buying GPUs off of amazon are a drop in the ocean.

The real shortage is for larger miners not able to get bulk orders through right now.

In a month when AMD has more chips out, you better bank on all of them going direct to farms and difficulty spiking.

[senseless]

why people thinkt he diff is locked now? i still see the diff increasing in all the coin on whattomine, and i can easily buy gpu on amazon, if i can everyone can, there is no shortage of gpu, there are plenty available

What? None of the good mining gpus are available on Amazon or anywhere else for the matter unless you want to pay 3 or 4 times retail.

what you are talking about i see plenty of 1070 available https://www.amazon.co.uk/s/ref=nb_sb_noss_1?url=search-alias%3Daps&field-keywords=1070, many arrive on 12 june, which is not 28 days

I don't know anyone who mines on nvidia. That's not to say it doesn't happen... Higher price (easily 1.5x to 2x the cost of AMD for the same hashrate) which means longer return.. Lack of cuda optimization in many miners. Noobs are going to be looking for AMD because that's all anyone ever talks about for ETH. Larger farms are looking for returns, paying twice the price for the same hashrate doesn't make financial sense.

[Jdope]

People tend to forget that currently we're in a bull market, almost every crypto currency in the top 100 has an almost exponential graph in the last month or so. If the market turns bearish for anyone reason, people who buy overpriced Gpus now will lost shit tons of money. and with the gpu dump that will happen they will lose even more money on their hardware, i have currently less than 12 gpus and i'm not buying more, i'm honestly thinking kf reducing them and selling them in a high season, some people will buy them for twice their price right now.

[Eyedol-X]

why people thinkt he diff is locked now? i still see the diff increasing in all the coin on whattomine, and i can easily buy gpu on amazon, if i can everyone can, there is no shortage of gpu, there are plenty available

What? None of the good mining gpus are available on Amazon or anywhere else for the matter unless you want to pay 3 or 4 times retail.

what you are talking about i see plenty of 1070 available https://www.amazon.co.uk/s/ref=nb_sb_noss_1?url=search-alias%3Daps&field-keywords=1070, many arrive on 12 june, which is not 28 days

This Right here...

I've brought 3x 1070 rigs online in last month and have another on the way...

2 are already half paid for, it should be another 2-3 months tops before they are all past break even

[Ayers]

why people thinkt he diff is locked now? i still see the diff increasing in all the coin on whattomine, and i can easily buy gpu on amazon, if i can everyone can, there is no shortage of gpu, there are plenty available

What? None of the good mining gpus are available on Amazon or anywhere else for the matter unless you want to pay 3 or 4 times retail.

what you are talking about i see plenty of 1070 available https://www.amazon.co.uk/s/ref=nb_sb_noss_1?url=search-alias%3Daps&field-keywords=1070, many arrive on 12 june, which is not 28 days

I don't know anyone who mines on nvidia. That's not to say it doesn't happen... Higher price (easily 1.5x to 2x the cost of AMD for the same hashrate) which means longer return.. Lack of cuda optimization in many miners. Noobs are going to be looking for AMD because that's all anyone ever talks about for ETH. Larger farms are looking for returns, paying twice the price for the same hashrate doesn't make financial sense.

what??? nvidia is very profitable at the moment, you don't mine ETH with nvidia, and it's not 2x the value for the same return, with skei or x17 nvidia is doing more than amd, much more, i can't see the reason to buy amd now

why people thinkt he diff is locked now? i still see the diff increasing in all the coin on whattomine, and i can easily buy gpu on amazon, if i can everyone can, there is no shortage of gpu, there are plenty available

What? None of the good mining gpus are available on Amazon or anywhere else for the matter unless you want to pay 3 or 4 times retail.

what you are talking about i see plenty of 1070 available https://www.amazon.co.uk/s/ref=nb_sb_noss_1?url=search-alias%3Daps&field-keywords=1070, many arrive on 12 june, which is not 28 days

Small miners buying GPUs off of amazon are a drop in the ocean.

The real shortage is for larger miners not able to get bulk orders through right now.

In a month when AMD has more chips out, you better bank on all of them going direct to farms and difficulty spiking.

100 small miners buying 10 gpu each isn't different from 1 big farm buying 1000, what i'ms aying is that the diff is increasing even now, people are adding gpu

[ApexEvo]

Personally, I'm not going to buy any more cards. Concerned the difficulty is going to exceed profitability due to my high electrical cost.

OP can I ask about your electric bill? How much do you pay for kw/h? I'm trying to make up my mind about buying a new rig myself and I'd like to know whether my prices per kw/h are fine here or I'm on the higher side.

[boatznhoes]

why people thinkt he diff is locked now? i still see the diff increasing in all the coin on whattomine, and i can easily buy gpu on amazon, if i can everyone can, there is no shortage of gpu, there are plenty available

What? None of the good mining gpus are available on Amazon or anywhere else for the matter unless you want to pay 3 or 4 times retail.

what you are talking about i see plenty of 1070 available https://www.amazon.co.uk/s/ref=nb_sb_noss_1?url=search-alias%3Daps&field-keywords=1070, many arrive on 12 june, which is not 28 days

I guess I didn not consider the 1070s, they are pretty pricey

[grchina]

People are switching to 1070 for mining,they can do around 31 mh...There is even a shortage of them not like with amd but still...Yes they are more expensive but at least you ain't limited with only one coin to mine and you can resell them easier then rx cards if mining collapse and market gets flooded with cards

[adaseb]

I highly doubt the difficulty will be capped.

First of all NVIDIA is in stock everywhere and I am pretty sure the CEO and Employee's of AMD, ASUS, MSI, GIGABYTE, SAPPHIRE, HIS are all going to start mining with the GPUs that are right off the assembly line.

Why would Sapphire sell a RX 570 for $50 net profit when they can mine with it themselves, make more money, and in 6 months re-sell it as a refurbished GPU.

[senseless]

Personally, I'm not going to buy any more cards. Concerned the difficulty is going to exceed profitability due to my high electrical cost.

OP can I ask about your electric bill? How much do you pay for kw/h? I'm trying to make up my mind about buying a new rig myself and I'd like to know whether my prices per kw/h are fine here or I'm on the higher side.

0.22/KWH

[Emoclaw]

I highly doubt the difficulty will be capped.

First of all NVIDIA is in stock everywhere and I am pretty sure the CEO and Employee's of AMD, ASUS, MSI, GIGABYTE, SAPPHIRE, HIS are all going to start mining with the GPUs that are right off the assembly line.

Why would Sapphire sell a RX 570 for $50 net profit when they can mine with it themselves, make more money, and in 6 months re-sell it as a refurbished GPU.

Because they don't have qualified personnel and lack expertise to run a mining farm, as well as other things.
This sounds as ridiculous as "why doesn't AMD make ASICs and mine with them instead of making GPUs".