Posts Tagged ‘BTC price’

Bitcoin Mining is Getting Profitable Again, But For How Long

8, Jan 2016

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With the release of the latest generations of powerful mining hardware such as the Bitmain AntMiner S7 and Avalon 6 that is available to normal miners and not only to large mining operations along with the increase of the Bitcoin price lately mining for Bitcoin has started to become profitable again. As a direct result of the new hardware getting released and the price increase there was the inevitable total hashrate and thus difficulty increase in the Bitcoin network and that increase has been quite significant. If you take a closer look at how difficulty has risen in the last month and a half or so you will notice that the things have developed quite rapidly with close to 50% increase and the rise will apparently continue with a lot more more new hardware still getting added. So while it is still quite profitable to mine with new hardware such as the latest ASIC miners mentioned above and fast ROI times for these devices the miners with older hardware might already be struggling to make a profit. So you should be careful with making investments in new mining hardware even though at the moment things look quite nice if you do the math.

Do note forget that in a couple of months, roughly this summer, another halving of the Bitcoin reward is expected and even though it will most likely be coming with another significant increase in the price of BTC you should still have it in mind. The current situation on the Chinese financial markets are also significantly influencing the price of Bitcoin with many people saying that the trouble in China are also responsible for many people turning to BTC and thus further increasing the price of the crypto currency. This all means that we have an interesting year ahead of us with many expecting to see Bitcoin price getting back to levels like $1000 USD per BTC when the reward halving occurs and even more by the end of the year. Still this does not mean that there could be some negative surprises as well, so you should be carefully and not rush into buying Bitcoin or getting back into mining it without thinking things through first.

Is Bitcoin Heading to a Price of $400 USD

3, Nov 2015

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Lately we’ve seen the exchange price of Bitcoin exploding and yet again the driving force behind the serious spike seem to be the big number of Chinese people investing into BTC. While on the western Bitcoin exchanges the price is trying to reach a new high of about $380 USD per Bitcoin, we are seeing that the big Chinese exchanges are already very close to $400 USD. This simply means that other exchanges will most likely follow and we may even reach $400 USD exchange rate even later today and it might not be the end of the price increase. So you might want to keep a close eye on what is happening with the price of Bitcoin and take advantage of the best moment to sell some coins…

Financial Markets are in Turmoil, Crypto Prices are Down

25, Aug 2015

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This weeks did not start well for the worldwide financial markets, and things were especially not good in USA and China as a result the exchange rates of Bitcoin and Litecoin as well as other crypto currencies are also down. The crypto currency price volatility is not something new, but the exchange rates dropping at this particular moment, especially for Litecoin, are not that good. Today LTC is expected to have its first block reward halving and the price going down to as low as $2.5 USD means that the mining profitability after the halving will be awfully low if any at all. Though later today we are probably going to see some recovery for both Bitcoin and Litecoin that will also most likely rise the fiat exchange rates for other alternative crypto currencies as well.

According to a Bitcoin Revolution UK report and back on to mining LTC, we had high hopes for SFARDS to have their new generation dual-mining ASIC capable of mining simultaneously SHA-256 and Scrypt-based crypto coins such as Bitcoin and Litecoin. The more interesting parts with the SFARDS SF100 miners is their high hashrate for mining LTC only with very low power consumption, roughly 1/3 of the closest competitor in the form of Innosilicon and their A2 Terminator chips. Unfortunately SFARDS is late, they are apparently going to miss the opportunity to release the hardware before the block reward halving, so their pricing will either have to go even lower in order to get user interest if/when they have wider availability. In fact some people have apparently received first batch units from SFARDS earlier this month, very limited early availability, and the feedback was not only positive. It seems that aside from the high initial price of the miners, there is more to be desired from the build quality and in terms of reliability as well. Meanwhile it seems that Innosilicon is selling well their A2 miners as they are currently the best you can get on the market and with good price policy and availability people that want to mine for Scrypt coins such as LTC have no other choice for ASIC miners.

We are going to see how things will work on for Litecoin, but meanwhile it is already experiencing a strong competition by Ethereum (ETH) in terms of market capitalization. Ethereum has been in development for quite a while, but mining has been officially launched at the end of last month along with the network starting to support transactions a few days later. The current high market capitalization of Ethereum is due to the availability of 72 million coins prior to the mining even starting, 60 million of which were sold to early investors and another 12 million to be distributed to early supporters. AS for the mining part, we have not even reached 1 million coins mined by users as we are getting close to the first month of mining. The expected rate of mining for Ethereum is about 30000 ETH a day or less than a million a month, but this does not mean that there are actually very few coins available. At the moment the daily trading volume of Ethereum is between half a million and a million coins, lately a bit lower because of the general drop in price. On the other hand Augur (upcoming application using the Ethereum network) is currently running their crowdsale and have already collected over 1 million Ether coins from users and close to 10000 BTC. So we are going to be keeping a close eye on the Ethereum development as well.


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