brace yourself... difficulty is about to increase, a lot - page 4.

SgtSpike

legendary

Activity: 1400

Merit: 1005

Quote from: DeathAndTaxes on May 09, 2012, 03:04:48 PM

Quote from: randomproof on May 09, 2012, 01:55:38 PM

Makes me wonder if it might make economical sense to turn your mining rig off for every other retarget cycle. Turn it off when target goes up so next retarget it does down. Then turn rig on and you get more blocks per time and better profit margin. Clearly only workable if you have a sizable chunk of the total hash power.

No. Even if you were 30% of global hashing power it wouldn't make sense.
So you turn off rig - revenue = 0x
Difficulty falls 30%
Turn on rig - revenue = 1.42x
Difficulty rises 30%.
Repeat

Over four weeks (two difficulty periods) weeks you earn 1.42x the revenue of a normal difficulty period. vs staying online for the two difficulty periods you would earn 2x. It would only make sense if electricity is >60%+ of your gross revenue and if it is you shouldn't be mining anways.

However if people want to do that I will change my answer to "Yes"*

* I am not going to argue with people helping to drop the difficulty for me.

Why shouldn't you be mining if > 60% of your gross revenue is electricity? As long as < 100% of your gross revenue is electricity, it still makes sense to mine in my book...

DeathAndTaxes

donator

Activity: 1218

Merit: 1079

Gerald Davis

Quote from: randomproof on May 09, 2012, 01:55:38 PM

Makes me wonder if it might make economical sense to turn your mining rig off for every other retarget cycle. Turn it off when target goes up so next retarget it does down. Then turn rig on and you get more blocks per time and better profit margin. Clearly only workable if you have a sizable chunk of the total hash power.

No. Even if you were 30% of global hashing power it wouldn't make sense.
So you turn off rig - revenue = 0x
Difficulty falls 30%
Turn on rig - revenue = 1.42x
Difficulty rises 30%.
Repeat

Over four weeks (two difficulty periods) weeks you earn 1.42x the revenue of a normal difficulty period. vs staying online for the two difficulty periods you would earn 2x. It would only make sense if electricity is >60%+ of your gross revenue and if it is you shouldn't be mining anways.

However if people want to do that I will change my answer to "Yes"*

* I am not going to argue with people helping to drop the difficulty for me.

randomproof

member

Activity: 61

Merit: 10

Makes me wonder if it might make economical sense to turn your mining rig off for every other retarget cycle. Turn it off when target goes up so next retarget it does down. Then turn rig on and you get more blocks per time and better profit margin. Clearly only workable if you have a sizable chunk of the total hash power.

SgtSpike

legendary

Activity: 1400

Merit: 1005

We'll probably see another difficulty drop after this. A large jump like this will definitely push more GPU miners out of the game... and along with it, summer heat too!

Aseras

hero member

Activity: 658

Merit: 500

Its just like stocks or any other commodity, how many people want it vs how many are selling it. If everyone stopped selling the value would go up as long as demand could stand the price and the holders could wait out speculating for a higher profit. Likewise, if the price jumped drastically so many would sell that the market would get flooded and the price would drop.

ice_chill

sr. member

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Just keep in mind that Bitcoin price isn't effected by mining, it is affected by investment.

Aseras

hero member

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Much more likely is that Mystery miner, or some botnet got bip16 coded right and is back in business.

think about it, if there were thousands of machines that needed to be updated it would be a slow increment as they were updated and rebooted by owners or whatever. It wouldn't magically all come online at once.

Clipse

hero member

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