Bitcoin Price Falls, Mining Rigs Sell

One reason why miners often pay close attention to bitcoin’s price is because mining machines have a strong positive correlation to its fluctuations. And as bitcoin’s dollar-denominated value has dropped precipitously this month, mining hardware prices followed.

At its recent lows, bitcoin was trading near $17,000, a drop of about 60% year to date. Over the same period, prices for the most efficient mining machines fell by 41%, as detailed below.

Observing the relationship between prices for bitcoin and bitcoin mining machines offers useful insight into the mining sector’s reaction to bitcoin price volatility and timing for accumulating discounted hardware.

Leave a Comment