Post
Topic
Board Speculation
Re: [prediction] Next spike $560,000 14 months from now
by
An amorous cow-herder
on 04/10/2014, 20:49:37 UTC
I'm sorry, but you are wrong.
If bitcoin price is 10x higher than mining costs then a lot of new miners will emerge ... simply because they can make some profit.

Sure, but they ALWAYS lag behind.

Consider that some suggest it currently costs about 300$ or so to mine a coin at today's hash rate.

This means even with continuous exponential growth the miners are still far behind last year's ATH.
Why go for a suggestion? Just plug the numbers into any damn mining calculator.
E.g. a brand new Antminer S4 will break even after 5 months. Assuming you pay 5 c/kWh and the difficulty will NOT increase any further. Even assuming a mere 15% difficulty increase per month it will never break even (current 30 day average is 26%).
Either you can get something like a 50% discount of retail prices or you can forget turning a profit from mining currently.