Chinese crypto miners are in a frenzy over pre-owned bitcoin mining devices following the recent price upsurge that saw the lodestar digital coin’s value rise from sub $4,000 figures to just over $5,000 within 48 hours.
The sudden change in market trajectory has revived the use of previously discarded miners as mining profitability rises to sustainable levels. According to a new Diar report, miners raked in just over $290 million in April, an almost 30 percent increase compared to earnings posted in March.
And now, according to Coindesk, the prices of used mining rigs have more than doubled since April. Bidding wars over the equipment are largely to blame for the trend. AntMiner S9 units, for example, retailed at $140 before the crypto market uptick but now cost upwards of $250. Some buyers are currently making $320 orders and this is pushing up benchmark prices.
There is credible suspicion that some wholesalers are stockpiling as they wait for rates to go higher. The trend could create an artificial shortage if left…