Bitmain says price hike increased interest in mining
The recent spike in the price of Bitcoin increased interest in Bitcoin mining which seems to have dwindled after the block reward halving in July.
According to the International Marketing Manager at Bitmain, Nishant Sharma, Bitcoin mining has continued unaffected by the block halving but the recent push in the price of Bitcoin in the first few days of 2017 drew more interest to the sector.
“If Google search trends are telling, the interest in “bitcoin mining” surged in 2013 and hasn’t been the same because increasingly more people are involved in or aware of Bitcoin mining since then,”
Sharma says in a mail to 8btc.
“Bitcoin mining continues to increase and the rising network difficulty is a proof of that. A rising Bitcoin price reduces the time it takes for miners to break-even and so makes mining more profitable. So, the recent surge in Bitcoin price has increased interest in Bitcoin mining.”
Since July last year, the coming of the block reward halving has been cited as a key factor that forced several Bitcoin miners to quit the effort at mining the digital currency as they say the activities are no longer profitable.
In China, where the process seems to continue without much concerns being raised about the possible effect of the halving process, miners there are considered successful because of the availability of cheap electricity.
However, Chandler Guo, a Chinese angel investor in Bitcoin and Ethereum startups has denied that electricity is neither cheap nor easily accessible in China. He also hinted at a new trend in which some energy companies in China now use their abandoned electricity to mine Bitcoin instead of selling it out to private miners.
Despite the increased investments in Bitcoin mining farms in China as well as abroad, Sharma expects to see more Bitcoin mining farms globally in the future.
Olusegun Ogundeji writes on tech-related issues including from the crypto/Blockchain space.
The recent spike in the price of Bitcoin increased interest in Bitcoin mining which seems to have dwindled after the block reward halving in July.According to the International Marketing Manager at Bitmain, Nishant Sharma, Bitcoin mining has continued unaffected by the block halving but the recent push in the price of Bitcoin in the first few days of 2017 drew more interest to the sector.http://news.8btc.com/bitmain-says-price-hike-increased-interest-in-mining
It’s normal that when the price goes up big time, mining becomes more interesting than it already was. Not sure what’s so exciting about this as basically everyone can figure this out. If the price remains at current levels, and I mean without moving much in up or down direction, then I am fairly sure that the difficulty will go up further. $900 is a welcome price with current block rewards. $1000-$1100 is like a gift. Especially for the well known farms.
A rising Bitcoin price reduces the time it takes for miners to break-even and so makes mining more profitable.
Here is the link to the original comment thread. Or you can comment here to start a discussion. Author: 8btccom
Strange they didn’t lift the price.
Are you sure?
Yes, particularly at the Bitcoin Unlimited pools. ViaBTC jumped to 200 PH and BTC.TOP to 85PH.
The more the price will get higher, more people will invest in mining operations in order to have some profit from it. In the contrary, if the price goes down, people will sell they mining equipment on craigslist or other sites of this kind. The real motivation is the incentive to get the bitcoins every 10 minutes and the fee from sending bitcoins over the network.
The ants9 hash market at hashnest fell in price as btc approached all time highs. It was cheaper to buy on the market than directly from bitmain.
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