GPUs are getting cheaper as the ETH price continues to drop

Graphics processors (GPUs) got a bit cheaper in July amid an ongoing downward trend in ETH price.

According to the evaluate According to TechSpot, GPU prices with popular graphics cards were slightly lower in July than they were in June; the lower July prices are the continuation of a steady decline in GPU prices since the crypto market began.

With ETH falling from more than $ 4,000 to less than $ 2,000 in May, profits from mining also fell significantly. According to the Data According to BitInfoCharts, ETH mining profits are down about 80% from their peak in May 2021.

ETH Prize | Source: Tradingview

Since the difficulty of ETH mining also drops by almost 8%, the interest in GPU mining also seems to be on a lower level. Overall, these factors could reduce the demand for already scarce graphics card hardware, which will benefit non-crypto-mining GPU users and gamers alike.

The surge in demand from altcoin miners has driven the price of GPUs higher and manufacturers are forced to incorporate hardware blocks into their graphics cards to limit performance in order to discourage miners.

GPU makers like Nvidia have also launched crypto-mining-only graphics cards to ease the price burden on the rest of the PC hardware ecosystem.

TechSpot figures show average GPU price inflation is down 16% from the manufacturer’s suggested retail price (MSRP) in June, with some GPUs dropping from $ 200 to $ 500 in the 3rd week of July.

However, despite the decline, GPU prices are still much higher than their respective MSRPs, resulting in average price inflation of 92%, according to TechSpot data. In fact, the GeForce RTX 3060 Ti is listed at $ 1,012, about 153% of the MSRP of $ 400.

With GPUs still selling nearly double the MSRP, gamers and non-mining members of the PC hardware ecosystem may not be able to afford them, especially with brand new GPUs.

In fact, there is a similar situation in the used GPU market, where the current drop in prices is not enough to bring price inflation down significantly.

However, the drop in Nvidia GPU prices on Chinese ecommerce sites could be attributed to the crackdown on crypto mining operations in the country.

Minh Anh

According to Cointelegraph

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