cex.io cloudmining difficuly change and gow to handle it

[treetoplake]

Dear Bitcoin friends

I have recently started at a low level doing cloud mining on cex.io.

There are many questions about this that I have but the main one at the moment is about 'difficulty change' in mining. Having bought some ghash and seen the mining start automatically and set my workers to the correct number all goes well. Then in the chat room I hear loads of chatter about the coming difficulty change .. and how its 'sell before the change' .. then 'buy back after the change as prices drop'.

Its best to trade your ghash in before the change happens as the price drops. Then after the change you then buy back ghash at a lower rate enabling you to mine more at the higher difficulty.

Questions:
How do I know when the change is going to happen?
Has the latest change in difficulty happened already on Sunday 8th December 2013 around 12.00 GMT?
Does it affect all bitcoin mining round the world?

Happy mining!
Treetoplake

[AuroraHF]

http://bitcoindifficulty.com/
http://bitcoinwisdom.com/bitcoin/difficulty
https://en.bitcoin.it/wiki/Difficulty

Difficulty affects everyone mining, not just CEX.IO!

[treetoplake]

Hi AuroraHF

Great answer .. thanks and I see I clearly need to read some more .. and be aware of what I'm getting into!

1) This time of writing there are 373 blocks to go .. so I have sold my ghash and am waiting for a drop in price after the expected change in difficulty to buy back ghash at a lower price on cex.io. Miners are not active they are in BTC.
2) Next time I may just let the miners keep on mining and soak up the loss .. but keep the mining going instead. Miners stay active in this route.

Not sure which is best 1) or 2) but this time I'm trying 1) Any advice what is best? Either way reinvest profits into miners at some point, hopefully a lower price moment.

Tree