Since the beginning of November 2018, bitcoin prices from about $6500 to about $3500 at the beginning of December, has been hovering around $3200. Although after December 17th, bitcoin prices rebound, back to $3500, the highest on the $3800, but the market is still uncertain. Not to 2 months, bitcoin prices fell by about 45%. While at the same time, the mining quantity of the bitcoin network decreased by about 31%. Estimated, about 130 million units, S9 mill was shut down a bit. Therefore, since the encryption currency prices, increase the difficulty of bitcoin mining, the mining industry is currently facing considerable pressure.
Recently, bitcoin prices plummeted, ore mines closed, miners, slow-moving flight without touching the sensitive nerve of stakeholders. Buy machine, from the price to mining, but also to its discount No one shows any interest in half a year. However, a number of machine manufacturers trying to get through IPO to spend more capital market dilemma, but the three major vehicle manufacturers collective Hong Kong IPO process is far did not imagine the good. Following the 2017 encryption money market prosperity, Jia Yun Chi Nan mining giant, Tianhe International and bit mainland respectively in May this year, June and September for Hong Kong IPO. But with the 2018 bear market highlights, volatility encryption of the currency market, the Hong Kong stock exchange for the listing to feel nervous. Chia Nan Yun Chi’s application has failed, two other faces great obstacles in persuading Hongkong to exchange.
As the mining machine industry the spire of the mining giants like this, then the situation of miners miners will high cost as can be imagined, first turn off the machine or sold out, some mine owners choose electricity cheaper place for mining operations. As everyone knows, Xinjiang’s abundant wind power resources, coal resources of Inner Mongolia plateau rich, stable and adequate wind power and thermal power is attracted to the mine owners’ most important point. Some of the South mine owners will choose Xinjiang, Inner Mongolia as a place for the winter. But with less difficulty upgrading and profits, coupled with the local departments of electricity regulation, had been favored by mine owners Chinese southwest and Northwest Mining resort, became a high power District mine owners want to flee. The burden of electricity resulting in mine owners to overseas migration.
Compared to the domestic recession, foreign mining was carried out like a raging fire. In Canada, for example, the country has a number of mining companies visit the capital market. Abundant hydropower resources, cheap electricity, daily low temperature, and loose policy, is mine industry in heaven. There have been some overseas experience, bit, start to build mine location in North america. Some other machine operators, also choose to build the mine or investment in the United States, Canada these policies more stable nations.
In addition, Coindesk reported that European countries electricity is also difficult to maintain the profitability of many mines, mines, Ukraine, Armenia and Spain from France to Iran to visit the farm, it is mine site. A large number of bitcoin miners are relocated to Iran, Iran at 4 cents once the reason for the cheap electricity resources. However, affected by the regional restrictions, also let mine owners blocked migration.
Electricity is the most intuitive digital asset cost mining cost, obviously, the miners and other costs, such as machine investment cost and the maintenance cost and the cost of building machine. Bitcoin prices fell, the reason is various, first of all, bitcoin is not stable, the fluctuation rate of more than 100% years, mean daily price of more than 6%; secondly, bitcoin exchange 7 days a week 24 hours, but bitcoin futures follow the normal trading time; thirdly, all transactions credit risk, such as the “Mentougou incident”, there are 20% futures risk collar. These risks are always continuously. And the recent lows, in 3 days, rose over 18%. According to Coinbase and Bitstamp encryption currency to the legal currency trading platform, bitcoin has been slightly revised to $3700, but the dominant currency dollar mark 3700 encryption breakthrough, the main resistance prompted analysts to consider the possibility of testing the $3800 to $4200 range of position. Or a bear market shocks, or seek a new starting point is a breakthrough. For the miners, in the bear market, should maintain mood for encrypted currency market, is a very difficult period.