Graphics processors (GPUs) got a bit cheaper in July amid the ongoing downward trend in Ether (ETH) price.
According to a review by TechSpot, GPU prices for popular graphics cards are a little lower in July than they were in June.
The lower prices in July are a continuation of the steady decline in GPU prices since the beginning of the current downturn in the crypto market.
In fact, the profitability of mining has also decreased significantly as ETH dropped to below $ 2,000 from over $ 4,000 in May. According to data from BitInfoCharts, the profitability of ether mining is down about 80% from the May 2021 peak.
Since the difficulty of ether mining has also decreased by almost 8%, interest in GPU mining also seems to be slower. Overall, these factors could result in lower demand for already scarce graphics card hardware, to the benefit of non-crypto mining GPU users such as gamers.
The increasing demand from altcoin miners drove the price of GPU miners soaring as manufacturers were forced to include hardware blocks in their graphics cards to limit performance in order to discourage miners.
GPU makers like Nvidia have also just launched crypto-mining graphics cards to ease the price burden on the rest of the PC hardware ecosystem.
TechSpot numbers show an average decline in GPU price inflation of 16% from the manufacturer’s recommended retail price (MSRP) in June. As of the third week of July, several GPUs have already dropped by $ 200 to $ 500.
However, despite the decline, GPU prices are still much higher than their respective MSRPs, resulting in average price inflation of 92%, according to TechSpot figures. In fact, at $ 1,012, the GeForce RTX 3060 Ti is about 153% list price of the $ 400 MSRP.
Connected: Nvidia GPU prices in China are falling due to the crackdown on crypto mining
With GPUs still selling nearly double the MSRP, gamers and other non-crypto mining members of the PC hardware ecosystem may still find their prices out of reach, especially for brand new GPUs.
In fact, the same situation exists in the used GPU market, with the current price declines being insufficient to cause a significant drop in price inflation.
However, as previously reported by Cointelegraph, Nvidia GPU prices have dropped across all Chinese ecommerce websites, likely due to the crackdown on crypto mining activity in the country.