Nvidia's share price plummets in wake of cryptocurrency crash

midian182

TechSpot Editor
Staff member

After holding steady around the $6000 mark for months, Bitcoin started to fall a couple of weeks ago. It’s currently sitting just above $4000, having reached a low of $3755—the lowest its been since September 2017 and a far cry from the near $20,000 peak it hit last December.

Part of Bitcoin’s decline has been blamed on Bitcoin Cash’s hard fork. Confidence in cryptocurrency has also been knocked by the Justice Department’s investigation into whether Bitcoin’s surge last year was the result of market manipulation—specifically, traders using Tether to drive up its price.

Nvidia admits it failed to predict the cryptomining market’s sharp decline. With mining barely profitable, demand for graphics cards such as the GTX 1060 has fallen drastically, leaving the firm with “excess channel inventory.”

As noted by PC Gamer, the news saw Nvidia’s share price fall 10 percent last week and is now at its lowest price since July 2017. While this won’t be welcome news for the company, less demand for GPUs from cryptominers does mean availability and the cost of graphics cards should remain stable. One other possible effect, however, may be that Nvidia won’t release its mid-range Turing cards, including the RTX 2060, until it clears its excess of GTX 1060s, which could take three to six months.

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Forebode

TS Booster
Most likely not, but yes please. In-fact it could be worse pricing or pacing. The market, yet again, will be flooded with hardware used to mine. As long as sellers back their hardware and you use regular channels with a legitimate payment method.. Should be some great deals on used 10 series cards. I believe it was Gamers Nexus that tested heavy use bitcoin GPU's and compared them to new with no difference other than the used one had no warranty.

If you're aiming for a 1080ti, good luck.. might as well get the 2070, just like the 1080ti, it can't do much in the raytrace department. They jumped the gun on those technologies.
 

Larry86

TS Rookie
If there is such overflow of 10 series GPU-s on the market why are the prices still high? They are not even dropping to recommended market price. Comparing prices and taking inflation into account, the 10 series prices are still 10-15 % higher than previous installments.
 

Theinsanegamer

TS Evangelist
If there is such overflow of 10 series GPU-s on the market why are the prices still high? They are not even dropping to recommended market price. Comparing prices and taking inflation into account, the 10 series prices are still 10-15 % higher than previous installments.
Because AIBs and resellers got greedy, and are still charging mining prices for non mining GPUs. They figure that people will shell out eventually, their other option is to not buy a new GPU.

Of course, if this causes nvidia to sell their cards through their own store in greater quantities, it will end up biting the AIB/retailers in the arse.
 
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Theinsanegamer

TS Evangelist
Haha **** ngreedia, honestly I don't feel sorry for them at all, if AMD can drop prices so can nVidia. I picked up RX Vega 64 Nitro with 3 games for £399, pure bargain :)
Nvidia doesnt control these prices, the AIBs like EVGA, gigabyte, PNY, MSI, ece and resellers like newegg are responsible for the sustained prices.
 

p51d007

TS Evangelist
Serves them right, but the employees, not the "CEO" types will be the ones that suffer.
They put all their eggs in one basket. A lot of times, this is what happens with public
companies. The "board" runs everything wanting the share price to always rise.
 

godrilla

TS Enthusiast
The 1070 finally fell to the same price it was before mining craze imagine the price it would have been now if there was no mining craze!
 

Adi6293

TS Guru
Nvidia doesnt control these prices, the AIBs like EVGA, gigabyte, PNY, MSI, ece and resellers like newegg are responsible for the sustained prices.
If they wanted they would make sure prices are lower they don't, especially for the 10 series, nVidia should have drop prices on them before 20 series came out
 
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Xallisto

TS Booster
Not sorry 1 bit, they could have arrested this by offering the turing cards at a very reasonable price and turned over a **** ton of money. But instead they treated their customers like cows and just expected their stupidly overpriced cards to go like hot cakes at a bake sale.

Never underestimate your target demographic. This is not the console business, PC owners are a hell of a lot smarter when it comes to this ****.
 
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treetops

TS Evangelist
Well they tried to justify the price hike with a higher demand. (Really they just price gouged us) Now how will they justify not selling them dirt cheap?
 
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ShagnWagn

TS Evangelist
My GTX 970 is just fine for what I do.
Same here. My 980GT (probably same speed as your 970GTX) is plenty for 1080p gaming. If 4k gaming ever becomes reasonably priced, I will build a new rig and get a 4k monitor. Other than that, I'm set for quite a while. :)
 

Adi6293

TS Guru
I want something that can run old and new games well (100-300 fps) but not be overly expensive.
If you want to play at 1080p get Ryzen 2600X + either RX580 or GTX1060 6GB and you're sorted if you have a little extra to spend get GTX1070 that way you get good performance and you're not breaking the bank