Cryptocurrency Prices Affecting GPU Demand
As we begin to see a "notable shift" higher in cryptocurrency prices,now should be good for chip maker like Nvidia Corp. NVDA. A sharp rise for digital currency like Ethereum, Dash, zCash, Bitcoin Gold and Bitcoin Cash in the past three weeks has helped bring down the time gap between mining these currencies and getting paid, this in turn should at least maintain demand for Nvidia graphics processing units miners are using.
So when the price of Ethereum was at $300 the payback period was ~9.4 months; today, it is now ~5.6 months--a change we view as motivation. Nvidia, as well as rival Advanced Micro Devices Corp. AMD, have received a boost this year from sales to cryptocurrency miners, who use their GPUs to help create the digital currency. Nvidia shares have more than doubled this year and AMD shares are up as well.
So the correlation that we see is that as cryptocurrency prices continue rising, the demand for mining equipment should continue to increase as well. Share your thoughts?
Follow @spinx23 for your cryptocurrency predictions, analysis and news.
Supporting articles like this allows for more great content coming, Thanks to all who supports
BTC - 12wdpYSqc2cZ4m8Y34y69cPnSQXDUg7trX
ETH - 0xaf22d283a3cccb664169e5f2e51ccb418842a4d2
Cristo es increible, todo poderoso grande, increíble, venció las tinieblas, ¡Cristo exaltado esta!