Difficulty climbing resulting in really low reward.

sutheksuthek Member Posts: 324 ✭✭
It looks like difficulty has doubled in the past month.
that isn't because of the blockchain though? right? that's just because of the volume of miners?
Will difficulty balance out? or will graphics card mining die in a couple months?

(based on current growth, I'm expecting a 100MH/s build to make less than $50 a month by the end of the year.)

When graphic card mining dies, are people moving to another currency? or are people parting out their rigs and moving on?
What's everyone's exit strategy?

Comments

  • ResonanceResonance Member Posts: 57
    The biggest new coins with the most potential, EOS & Tezos, do not use miners. I think more will go that route. Everyone cannot do ZEC at the same time and it be worthwhile. Others are not profitable with GPUs. I think soon, very soon, there will be a card dump on Ebay from miners exiting. Many people think they will get 50% back on used cards. I don't think gamer demand will match that level of miner exodus supply. Prices will be crushed.
  • PlantDrPlantDr Member Posts: 122 ✭✭
    I'll probably mine any coin I can as the exodus of GPUs will cause me to not get a lot of money for my cards. I also have free electricity so I can mine longer than others and be profitable, so I'll probably run my cards into the ground.
  • sutheksuthek Member Posts: 324 ✭✭
    with ETH dropping in value, (now around $220), Is ETH currently the most profitable?
    What would people switch to?

    I am having difficulty figuring out what 3x RX 580's can make in other currencies.
    I found this site: https://whattomine.com/
    And it's suggesting ETH isn't even in the top 5 for profit? but I must be missing something.
  • lugobitlugobit Member Posts: 16
    Why did you think like that ? Just because price is going down for few days ? lol

    keep your coins and sell high....
  • sutheksuthek Member Posts: 324 ✭✭
    edited July 2017
    lugobit said:

    few days

    A month straight... but who's counting?

    Value is 1/2 of what it was a month ago...
    Difficulty is 2x what it was a month ago...

    And if Difficulty continues to climb, as it has been, GPU mining will be such low returns it will be crazy to continue. I suppose at that point people will drop off and maybe difficulty will dip?

    I can't picture this coin lasting for ever without dedicated boxes. (similar to what needed to happen with BTC)
  • cidmocidmo Member Posts: 446 ✭✭✭
    edited July 2017
    because there are so many new miners selling their coins as soon as they get them
    supply and demand dictates this move downwards with far too much liquidity
    thankfully volume has started to go down cuz new investors are losing interest
    but considering most of the new hashrate is coming from large farms being able to buy gpus
    where as most of the world cant
    i can see this just continuing to drop until profit is completely squeezed from miners paying for electricity
    welcome to how ltc was at the end

    next time im not gonna be a such an idiot and when i see asic come out for a dying coin... ima buy em
    x11 miners are raking in the cash
    Post edited by cidmo on
  • BlockerBBlockerB Member Posts: 16
    My hashrate gong down slowly but it's a hobby and still enjoyable.
  • techtottechtot Member Posts: 339 ✭✭✭
    Man, a few bad days and it's gloom and doom. 1) The price of BTC is falling, which causing everything else to drop. It is not just ethereum. 2) What @cidmo said is correct. Too many sellers. 3) To me, this coin could be anything over $20 a coin and it would still be worth mining. We were at $5-$15 forever both last year and this year, so I am tired of everyone saying the sky is falling because we are "only" at $200. 4) Finally , I suffered the Litecoin crash, but I think we have too many other alt coins this time - like Decred, ZCash, SIA, to turn to if ethereum crashes. 5) Make some nice gaming rigs out of your cards and sell 'em that way, worst case :)
  • kentankentan Member Posts: 85
    edited July 2017
    Well, warnings have already been posted many times in this forum.

    The recent spike in difficulty is more of a concern to me. Has the difficulty bomb been activated? POS coming soon?

    Difficulty suddenly spiked from 1071 on 9 Jul to 1199 on 10 Jul.



    The chart is more telling...






  • cidmocidmo Member Posts: 446 ✭✭✭
    edited July 2017
    yea i dont think well drop down to x11/quark/qubit/lyre days
    at least i hope not, making $.20 profit a day per card wasnt fun, back when btc was dead cat bouncing on 200 lol
    i just replaced my z97 and i5 with ryzen
    so maybe ill package that with a gpu or 2 for some poor shlub whos been waiting for a gpu for months
    given how eth has gone during mining tho i got hope for POS
    i remember finding 5 blocks a day per 290x and then the price jumped and i made a killing at $9
    eths got surprises in store still im sure
  • techtottechtot Member Posts: 339 ✭✭✭
    If it makes you feel better, look how worse these coins are doing:



    ether is actually hanging in there better than most..but the 100TH diff increase didn't help any - bad timing..no crypto's appear up right now . Remind me to buy some namecoin, it is hanging in there also..




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