Crypto prices rise, time to get into mining?mcminer | May 5, 2018 | 6 | Latest News
After a rough start to the year in Q1 crypto prices had fallen significantly which also lead to a mass exodus for GPU and ASIC miners as mining the likes of Bitcoin, Ethereum, Monero and other altcoins saw margins falls.
However in the past month, the price of most top coins have shot back up increasing margins for miners with miners optimistic that prices will continue to rise.
If you got out of the GPU mining game is it time to get back into mining? or are you thinking of building your first mining rig?
Reasons to start mining:
- Prices for graphics cards are now back down to a 4 month low and they are in plenty supply. So from that perspective it should be relatively cheaper to build a rig since December 2017.
- Prices are on the up and are profitable for now.
- Difficulty for Monero mining is still low since its last major hard fork.
- Its not to late! – There are many coins existing and if you believe in the future of a coin then one way to support that network is to mine those coins.
- Price stability – when it comes to cryptocurrencies in general volatility is to be expected.
- ASIC miners – Bitmain recently began selling Ethash ASIC miners which is an obvious concern, however these are limited to only mining Ethash coins and will likely have poor resale value.
- Regulation – Threat of regulation is always common for cryptocurrencies which can influence price.
- Security – This has always been a significant threat for miners however mining to wallets and taking them offline is the safest way to secure your cryptos.
- Announcement of dedicated mining cards.
- Announcement of newest line of Nvidia cards.
There is never really a good or bad time to get into mining. Unlike buying cryptocurrencies, building a mining rig and mining a coin like Ethereum or Monero can in a way be a more secure way to get into cryptocurrencies from the perspective that you have physical assets that you can resell if you believe the market is heading south. There is in a way less risk attached to building a mining rig than outright buying crypto. However there may be longer payback periods based on the capital required to build a mining rig.
All this being said, we do see now as a favourable time to build a GPU mining rig as capital required is lower than the past 4 months and profitability has returned to stronger levels. The concerns outlined above have existed for a long time, way before even we started mining last year.
If your interested in building your own GPU mining rig check out our guide below on the parts and setup required check out our guide on how to build a GPU mining rig.