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The Evolution of Cryptocurrency in June 2021: A Snapshot
What an incredible journey the last month has been for cryptocurrency miners and enthusiasts! The end of June 2021 brought with it a turning tide in the world of crypto, with significant changes and advancements emerging at warp speed. This evolving landscape has seen both seasoned and newbie crypto miners navigating through uncharted territories. In this article, we delve into a comprehensive review of June 2021’s crypto mining perspectives, the evolution from May, and a peek into the future.
A Flashback to May 2021
Let’s journey back a month ago to May, where the crypto mining setup was still in its nascent stages. The mining frames were empty, hardware and infrastructure were still being established, and most importantly, mining strategies were yet to be locked down. Progress was steady, but by the end of the month, the setup had only nestled 18 GPUs.
According to estimates, the profit from mining at that time, factoring in the prevailing prices of Ravencoin, Ethereum Classic, and the respective hash rate, was an impressive $14,450.40 per year.
The Evolution in June 2021
The Infrastructure Development
Fast forward to the end of June, the mining equipment has drastically evolved from the previous month. By this time, the mining setup accommodates 23 GPUs, with four additional 380 X’s and an NVIDIA GeForce 2060 on the way. The mining rig setup consists of Ergo, Ethereum, Ravencoin, and Ethereum Classic, all drawing power from a 240-volt source.
The Profitability Perspective
The changes in infrastructure and strategies have inevitably impacted the profitability trends. The fluctuating market prices of the mined cryptocurrencies have underscored this impact. If the prevailing conditions persist, the yearly profits for June 2021 sit at an estimated $10,317.60, showing a reduction from May. This clearly depicts an onset of a possible ‘bear market’, with the profitability graph showing a downslide.
Understanding the Future Direction
As the trend takes a downward turn, it raises questions about how miners should strategize for the future. While there’s some apprehension around this shift, this perceived ‘bear market’ may not necessarily spell doom for all miners. After all, market fluctuations are not anomaly but rather the crux of any investment market, crypto being no exception.
Long-term Investment vs. Daily Payouts
The motive behind one’s mining strategy plays a crucial role here. For instance, miners who immediately convert their earnings to fiat currency primarily focus on day-to-day profitability, and market volatility directly affects them. On the contrary, miners viewing crypto as a long-term investment may see this differently.
In the case of the latter, these miners maintain their holdings in crypto, not cashing them out. They invest in mining as a hobby and a potential source of profit in the long run, tracking the trend of crypto values to cash out when the tide turns in their favor. Despite the current state of affairs, they look forward to the potential value surge in the future.
Reflecting on this Journey
On the whole, June 2021 presented a remarkable turn of events for the crypto mining landscape. With the bear market setting in, it underscores the importance of evolving mining strategies, providing a much-needed reality check for all miners.
Looking ahead, the complex dynamics of the crypto market will continue to inspire intrigue and speculative discussions. It will be interesting to see how miners and the crypto community respond to the challenges and opportunities that lie ahead. As we head into the coming months, the most important takeaway is that the journey is just as important as the destination, if not more so.