The recent crypto bear market has seen a sharp decline in the prices of graphics cards, which have almost returned to what could be considered normal levels in recent times.
This is an indication of the effect that the recent crypto bear market has had on mining and demand for the technology to carry it out.
Excess stock of current-gen cards
Reports suggest that prices will have dropped by around 20 percent by the end of this month, which is obviously terrific news for those who buy such hardware for non-mining purposes, such as gamers.
The drop in demand due to the crypto bear market has had a knock-on effect on producers of GPUs, with companies like Nvidia seemingly overestimating demand from crypto miners. They now have excess stock of current-gen cards as a result, and there doesn’t look like there’ll be much demand for them in the immediate future.
This has apparently played havoc with plans to release the next generation of cards because they’ll have to clear down stock before newer ones are launched.
Demand for the likes of the GTX-1080 would nosedive if the next generation of cards were made available.
Current reports are telling us that the global GPU market has an inventory of several million units, of which Nvidia owns around a million.
ASIC sales are also down
As well as being hit by the drop in demand for units, producers are also being hammered by disillusioned crypto miners who have taken to sites like eBay to sell their own video cards before their value drops any further.
ASIC sales are also down, unsurprisingly, with the dedicated mining rigs used by serious miners seeing a major dip in sales of late.
This situation opens the door for those miners who agree with forecasts of an imminent spike in the market to get themselves some mining equipment at reduced prices, either with the intention of using it later on down the road or selling it on when demand returns.
The fallout from the current crypto bear market reaches far and wide, but with it comes more opportunities for those who believe they can read the market.
Lover of all things crypto, blockchain and AI, professional tech scribe & part of the editorial team at Crypto Disrupt.