GPU prices are trending downward as cryptocurrencies tumble

nanoguy

Posts: 1,185   +20
Staff member
In brief: GPU prices have caused gamers a great deal of pain over the past year, but rising mining difficulty and tumbling Ethereum value are once again putting downward pressure on the ridiculous retail price of both Nvidia and AMD graphics cards.

Last week, we learned Nvidia decided to increase the price of its Founders Edition GPUs in Europe. One possible reason for the change is the recent strengthening of the American dollar against the Euro, but since MSRPs have been rendered meaningless by insatiable demand it’s easy to dismiss it when looking at the big picture.

However, 2022 started with some really good news for gamers and enthusiasts, as industry watchers hadn’t noticed any significant retail price change in over two months. According to a new report from German publication 3DCenter, there’s even more reason to be optimistic as the first weeks of January saw prices trending downward, particularly in the case of AMD’s Radeon RX 6800 and RX 6800 XT.

Falling cryptocurrency prices and news of imminent country-wide cryptocurrency bans have made GPU mining less profitable, and now AMD cards sit at an average of 67 percent above MSRP. Nvidia GPUs still maintain a larger premium at 77 percent over MSRP, but they’ve at least returned to October 2021 levels. Newer graphics cards like the Nvidia RTX 3050 and the AMD Radeon RX 6500 XT aren’t attractive to miners, but they’re also relatively low value for gamers.

Elsewhere in the supply chain, it looks like material and component shortages may also be easing. According to DigiTimes, the supply of Ajinomoto Build-up Film (ABF) substrates will slowly improve in the coming months, and by the second half it will allow AIB companies like ASRock and TUL (PowerColor) to greatly scale up their graphics card shipments. ASRock president Lung-Iuen Hsu recently said the company expects to post a double-digit surge in shipments and profits this year.

Still, tackling the chip shortage is a complex problem that won’t be solved by simply improving the supply of ABF substrates, but rather by rendering GPU mining obsolete. Ethereum mining difficulty continues to grow every month and if all goes well we should see a transition to Proof-of-Stake this year. Other Proof-of-Work cryptocurrencies that can be mined using GPUs have nowhere near the scale or value of Ethereum, meaning most miners would be forced to sell off graphics cards to recoup some of their investment.

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Theinsanegamer

Posts: 3,334   +5,546
Meanwhile here in america AMD 6800xts are still going for $1300+, or over 100% above MSRP. Same with the 3070ti. Availability for anything remotely close to MSRP is still nil.

I think these lower prices should be considered a hiccup, not a notable improvement. Crypto could very easily rebound, and until cards near MSRP are widespread I think it's too early to call this an ending issue.

And can we stop pretending Etherium is going proof of stake? It's been 6 years, its not gonna happen.
 

DZillaXx

Posts: 504   +635
EXCELLENT.

I am enjoying watching the crypto market burn. Such a waste of resources finally coming to such an abrupt end. The resources can be better used elsewhere.


This is a common cycle with crypto, just wait a couple years and it'll boom again.

If the last decade shows you anything, bitcoin will continue to set records. Sometime in the next 3 years I'd expect to go past the 100k mark. It will most likely happen around the same time as a big jump in GPU technology releases, fueling the trend of using them to mine alt coin.
 

Achaios

Posts: 360   +981
I though Miners weren't responsible for the ridiculous GPU prices.

The brilliant, illuminated brains at /r NVIDIA said that the GPU shortage was caused by

QUOTE

console gamers who went PC for the first time

UNQUOTE

and elsewhere they claimed that GPU over-pricing was due to "component & material shortages as well as increases to transportation costs & bottlenecks thereof".

They absolutely refuse to post even something remotely critical to Miners, try posting smt against /r NVIDIA wisdom and it will get deleted faster than you can say "wee".

Miners are NVIDIA's Prodigal Son that the rest of us unbelievers should better not dare to criticize.
 

ScooterVNeuter

Posts: 7   +11
This is a common cycle with crypto, just wait a couple years and it'll boom again.

If the last decade shows you anything, bitcoin will continue to set records. Sometime in the next 3 years I'd expect to go past the 100k mark. It will most likely happen around the same time as a big jump in GPU technology releases, fueling the trend of using them to mine alt coin.
Very true. Anyone thinking crypto is going to nothing and disappear is deluded.
As for myself, I'm glad to pay 60% more for my 3080ti if my crypto continues to skyrocket (and it's still up over 50% even after the crash) :)
 

McMurdeR

Posts: 491   +625
Very true. Anyone thinking crypto is going to nothing and disappear is deluded.

Like all speculative assets, it will grow when world monetary systems are pumping cash into their economies. But when the stimulus is withdrawn it will fall like a hit rock as investors retreat to stable commodities. That's precisely what's happening now. It will be a few years before it becomes a thing again.

 

JKnight

Posts: 180   +295
Like all speculative assets, it will grow when world monetary systems are pumping cash into their economies. But when the stimulus is withdrawn it will fall like a hit rock as investors retreat to stable commodities. That's precisely what's happening now. It will be a few years before it becomes a thing again.

Investors like safe options usually government bonds when stock markets crash and crypto fluctuates too much.
 

emmzo

Posts: 597   +746
C`mon ETH under 1k, we will be drowning in sh cards and nVidia and AMD will sh1t their pants.
 

Irata

Posts: 2,052   +3,511
If coins were indeed to crash, I hope someone will do an analysis which cards flood the used market. That would be interesting.
 

kiwigraeme

Posts: 992   +742
This is a common cycle with crypto, just wait a couple years and it'll boom again.

If the last decade shows you anything, bitcoin will continue to set records. Sometime in the next 3 years I'd expect to go past the 100k mark. It will most likely happen around the same time as a big jump in GPU technology releases, fueling the trend of using them to mine alt coin.

Rubbish the optics for BC future is bad - unless it curtails energy use . I don't think you understand it's solely based on faith and prayers - nothing else . Once companies want nothing to do with it, more countries ban it - images of BC will be overlaid on the devastation of fires, graves, emancipated animals - the shills can fluff all they want - but the stories of silly people losing thousands to NFTs won't help as well - you will just be left with the cult holding forlornly on to their illusion unable to cash out - like some beanie baby collector.
Each year the world will get warmer YOY , YOY - who to blame- let's go after easy stuff first like BC
 

QuantumPhysics

Posts: 6,299   +7,229
This is a common cycle with crypto, just wait a couple years and it'll boom again.

If the last decade shows you anything, bitcoin will continue to set records. Sometime in the next 3 years I'd expect to go past the 100k mark. It will most likely happen around the same time as a big jump in GPU technology releases, fueling the trend of using them to mine alt coin.


LOL - yeah ok.

 

QuantumPhysics

Posts: 6,299   +7,229
This is a common cycle with crypto, just wait a couple years and it'll boom again.

If the last decade shows you anything, bitcoin will continue to set records. Sometime in the next 3 years I'd expect to go past the 100k mark. It will most likely happen around the same time as a big jump in GPU technology releases, fueling the trend of using them to mine alt coin.


"they" kept saying Bitcoin was gonna be $100,000 by Summer 2020... lol
 

grumblguts

Posts: 466   +394
Will AMD and nvidia survive this betrayal to its player base. cant allow them to do this to use again. it needs to hurt because they will suck up to us pc gamers now for sales when they spat in our faces for the last 2 years.
 

human7

Posts: 25   +15
Do miners use the consoles, too? (trying to understand if the miners are responsible for them being overpriced, or if it is just supply chain woes)
 

kiwigraeme

Posts: 992   +742
"they" kept saying Bitcoin was gonna be $100,000 by Summer 2020... lol
Exactly - they know the big problem with Ponzi-Coin is to get enough "investors" in at the bottom . Given most of these are hopeful get rich quick people have liquidity issues - many will cash out with 30% losses .
We had a fluffer on here stating that BC will hit 1 million last year - This means it's market cap would be ginormous - and you will need am incredible number of marks aka investors - who are buying a $1000 here ,$5000 there . There is a limit to that many foolish people . If f Panzi-Coin is selling at 40000 - with X "investors" buying in with Y dollars - then you would 2X Investors at Y dollars at $80 000 for a Ponzi-coin . Selling 1 share , debenture, Ponzi-coin at an artificial high price - does not a market price make . I.e. then need to be a credible number of buyers and sellers . Given the Shills say it has high liquidity ( unlike say private share stock ) then where will all this 2x buyers come from , or 4x to increase it to $160 0000 . Plus there will be more incentive to cash out by profit takers to buy land, shares or just hold cash.
If a group artificially hold the price at say $100 000. Then it can still be used as a transaction for dodgy purposes over a short time .- you buy at that price , then buy contraband , or pay ransom at that price .

Plus putting your faith in get rich investors not to panic - is quite funny .
Land is land , An Apple share is an Apple Share . A Ponzi Coin - is faith their is endless supply of feel good get rich stories to attract more gamblers
 

kiwigraeme

Posts: 992   +742
There really is a Ponzicoin - and people were buying and selling .
It really is like- No there is not really a Russian Woman out there waiting to come to your country - what you are going to send another $10000 and another , and another . Now you are complaining why didn't the bank protect you - when the tried so many times, same as family/friends - and you lied to the bank - because your "lover" told you exactly what to say to circumvent their help
 

Watzupken

Posts: 577   +486
In my opinion, if the GPU hits your target buy price, it make sense to just get it. Similar to last year, we hear about crypto trending down, and GPU prices also in the same direction. I pulled the trigger on a GPU that I have been eyeing, and never looked back because prices went up subsequently with a vengeance. The fact is the high price is not just a result of miners, but a result of shortage of parts/ components, and AIB partners wanting to make more profit with a fatter margin. The AIB partners and also the retail stores are banking on peoples' desire for GPU, and therefore, are not shy to mark up the products. So I believe while crypto demand is slowing down, prices may not end up anywhere near MSRP.
 

Achaios

Posts: 360   +981
Do miners use the consoles, too? (trying to understand if the miners are responsible for them being overpriced, or if it is just supply chain woes)

Consoles are widely available here in Europe and in fairly good prices too.

A few months back, Ukrainian Police busted by mistake a farm with thousands of consoles in it that were on 24/7 running bots for a few spicific widely popular console games.

There's your answer.