The supply of cryptocurrency mining machines did not meet market demand in Q2 2019 despite the fall of mining hardware prices, according to a new research.
Bitcoin miner market experienced serious inflation during Q2 2019, with most of miners from various suppliers undergoing shortages, says Q2 2019 cryptocurrency mining industry report by cryptocurrency analytics company TokenInsight.
Released on September 13, the report from San Francisco-based cryptocurrency data supplier claims that the mining tools market still performed fairly well in Q2 as some famous mining hardware like Antminer S17 were out of stock during the timeframe.
The company also says that those machines are currently being sold by manufacturers as future deliverables, which will be out in October and November this year.
Elsewhere, the mining market recorded a significant surge in the supply of cloud mining, which doesn’t require purchasing mining machines by offering a platform that directly packages and manages the links of mining hardware purchase, power supply, logistics and more.
TokenInsight says Bitdeer and VeryHash were the main suppliers of Bitcoin cloud mining hardware in Q2 during the previous season.
Mining difficulty expectations
The report also says the overall difficulty of Bitcoin network is predicted to increase by 48 to 72 percent in the second half of 2019.
In simple terms, mining difficulty refers to the value used to indicate how hard it is to discover a hash that will be lower that the target defined by the system. As a result, the projected upsurge in mining difficulty will undermine earnings for some mining operators with currently working machines, noted TokenInsight.
As time goes by, the ratio of price to mining difficulty is expected to drop over a 1-year period from August 14, 2019 to August 14, 2020, TokenInsist wrote, highlighting the 95% confidence interval of Bitcoin price in 2020 starting from $17,077 to $23,276.
On September 10, cryptocurrency analyst PlanB claimed that Bitcoin price should reach $30,000 during its current price cycle, based on mining difficulty indicators.