Just a year ago, if you tried searching for an affordable advanced GPU online, perhaps your search ended up with frustration. Because of the vast uses of advanced graphics cards back then, GPU Prices were on a constant upward price trend.
But it is as though, a lot has changed in the latter days of this year. Any keen eye on the prices of GPU must have noted the GPU prices seem to be on a constant downhill price trend. A bear crypto market appears to have pushed this shift in the pricing of Graphics Processing Units (GPU) globally.
Another piece of good news to Graphic Card buyers is that this trend is not likely to go uphill any time soon. A report published by ComputerWorld on the 10th of July 2017 has suggested this. A different estimate by GPU Grapevine estimates the graphics cards’ prices may drop by a fifth within the year.
But what caused the drop?
Now, it is essential to note that the two leading consumers of specialized GPUs are computer gamers and cryptocurrency miners. A report that was compiled last year by AMD (a famous company that specializes in manufacturing microprocessors and GPUs) indicated that AMD alone had sold nearly 3 million specialized GPUs and processors in 2017 to cryptocurrency miners. With such a high number of dedicated users coming from the crypto market, it could imply that a drop in interest for crypto could, in turn, trigger a decline of interest in graphics cards.
As early as late last year, there were speculations about Bitcoin (the leading cryptocurrency) dropping drastically in the mid of the year. The NBC, for instance, prospected that Bitcoin prices could drop to about $4000 per Bitcoin. The new report by ComputerWorld seems to back this speculation from NBC about the Crypto market.
Are the clouds falling or is it just raining?
Trying to understand the current trend of the crypto market, clearly, holds the key to predicting the future price trend of Graphic cards. But then, how can one tell if this downward trend of cryptocurrencies will continue? Should one wait a little longer before he/she can buy a GPU? Or should one order a GPU as soon as possible?
Well, as I had outlined before, there have been adequate hypotheses posted from reputable sources that indicate the possibility of a drop within the year. The fact that this downward price trend keeps progressing suggests that earlier investors in the crypto market are losing faith the digital currencies. In other words, this trend is triggered by fear of a crashing market.
Most people assume that falling in cryptocurrency prices to be permanent. One thing that most of these sources that envisioned a market crash for Bitcoin admitted was the fact that at some point the price of Bitcoin would still bulge. Some sources estimated Bitcoin to strike about $60,000 after the continued fall. If this ever happens, then the demand for GPUs will suddenly swell again, and the graphics cards will become unaffordable.
At the moment, GPU Prices are incredibly low. Nowadays most of the GPUs that were initially selling for over $1000 are now trading at $700 or less. Some vendors have even opted to engage in drop shipping in their bid to clear stocks or release newer Graphics Card improvements.