Latest Ethereum Price Increase Helps ETH GPU Miners Get Back into Profit

    The cryptocurrency market seems to look good again especially if you have an additional video card. With the rise of prices in the crypto market, it is now possible to make a profit by mining Ethereum (ETH) on a home GPU (Graphics Processing Unit).

    A lot of GPU crypto miners were put out of the market during the ‘Crypto Winter', but those days seem to be over and there is hope to make a profit again. Mining of Ethereum (ETH) has become significantly more profitable since the 2nd of April when the price of Ether (ETH) spiked by 80%.

    According to recent charts, an Ethereum miner can make about $0.022 each day for every Mhash/s, an increase from $0.014 about 9 weeks ago.

    Gpu Miner's 2018 Struggles

    The Managing Director of Easy Crypto Hunter, a GPU mining provider based in the UK, Josh Riddet, said that the recent cryptocurrency rally has enabled small standalone miners keep afloat.

    The bear crypto market of 2018 forced many miners to shutdown operations and in some cases sell off all their GPUs.

    In Europe and North America, GPU miners spend significantly more on electricity bills than crypto miners in Asia.

    “Profitability dipped to the point of being difficult to justify on 12p [around $0.15] a unit of electricity and stayed tough for a long time,”

    Asic Mining Effect

    The emergence of ASIC (application-specific integrated circuit) mining rigs like E3 of Bitmain made mining on the Ethereum blockchain even more difficult, which in time pushed many GPU ETH miners out of the market.

    Cryptocurrency miners with more flexible equipment (nomadic hash) moved to cryptocurrencies which offered higher returns like Grin and Ravencoin.

    Progressive Proof-of-work

    The core team of the Ethereum blockchain have started working on a new mining algorithm dubbed Progressive Proof-of-work (ProgPow) which is built to reduce the effectiveness of ASIC mining equipments and maximize the effectiveness of GPU miners, making mining equally accessible to the broader crypto mining community.

    Though there is no stated timeline for the launch of the ProgPow algorithm, it will definitely have a huge impact on the Ethereum blockchain.

    Riddet stated :

    “It’s essentially like pressing the reset button,ProgPoW will have a very positive effect on profitability.”

    Josh Riddet also believes that the mining activity increase on the Ethereum blockchain, which has risen since the 2nd of April to about 27Thash/s is due to GPU miners coming back on the Ethereum blockchain after months away.

    Tribalistic Hash

    The CTO of Core Scientific, a blockchain and AI infrastructure provider, Kristy- Leigh Minehan, believes that the Progressive Proof-of-work algorithm will be in the advantage of the Ethereum blockchain on the long run.

    Stating that miners who are loyal to Ether (Tribalistic hash) would not seek profit on other cabins but stick to Ethereum. She stated :

    “The nomadic hash will return with the change,”.

    In addition she said:

    “If Ethash [the present mining algorithm] is kept, the tribalistic hashrate will be forced to leave due to increasing unprofitability.”

    Mining Resurgence

    Josh Riddet predicted that this new algorithm (ProgPoW) would cause “a big resurgence in GPU mining” as more small and independent GPU miners will migrate back to the Ethereum blockchain. Adding:

    “we're hoping we'll create a public renaissance for mining”

    Get Free Email Updates!

    *Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

    I will never give away, trade or sell your email address. You can unsubscribe at any time.

    Osahon Okodugha
    Osahon Okodugha
    Osahon Okodugha is a blockchain and financial writer based in Lagos, he is also a published writer with years of experience. He has degrees from the University of Ghana, Legon, and the University of Lagos.

    [Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

    [Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer


    Please enter your comment!
    Please enter your name here


    Live Bitcoin Price & Latest BTC Chart News

    Today's Latest Crypto News

    IBM Wins ‘Self-Aware' Token Patent, It Can Record Offline Transaction Data To Upload Later

    IBM was given a US patent for a “self-aware” token that’s capable of recording its own data for transactions. The patent was awarded on January...

    World’s Largest Oil Firm Saudi Aramco, Drops $5M Into Vakt's Blockchain Trading Platform

    A leading oil corporation from Saudi recently invested $5 million towards a blockchain based startup dubbed ‘Vakt’. Saudi Aramco Energy Ventures (SAEV), initiated the...

    China’s Crypto Affinity Drops As LocalBitcoin Volume Drops To 2-Year Lows

    China’s BTC trading volumes have hit an all-time low in two years with the peer to peer (p2p) exchanges on LocalBitcoin. As of the...

    Bitfinex Ordered To Freeze $860k Bitcoin Linked To BitPaymer Ransomware By UK Courts

    A High Court in the United Kingdom has issued a freeze order on Bitcoin acquired via a ransomware attack against a Canadian-based firm. The...

    TradeStation Users Now Have Access To CME, Bakkt Bitcoin Futures Options Trading

    TradeStation is an online brokerage firm for securities and on 27th January announced that its clients can now trade Bitcoin Futures Options from CME...

    BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.