The surge in Bitcoin prices has boosted demand for mining machines, especially in Shenzhen, where sales have surged as miners from Russia, the US and Canada rushed to buy. Prices for some models have increased by 30% compared to last year.
The boom in Bitcoin prices is creating a new wave of demand in the cryptocurrency mining market, mainly concentrated in Shenzhen, China, according to news on December 17. Bitcoin's recent price hit $108,000, along with predictions of reaching $200,000 next year, has stimulated miners around the world, especially from Russia, the US and Canada, to flock to technology centers like Hoa Cuong Bac to hunt for equipment.
This has led to shortages and prices for some popular mining models, such as the Antminer S21, have increased by about 30% year-on-year.
Bitcoin Mining Equipment Fever
Suppliers at Hoa Cuong Bac said the number of foreign customers has increased dramatically, with many large transactions from Russia, Ethiopia, the US and Canada, in some cases buying hundreds, even thousands of machines.
The lucrative returns from Bitcoin mining, combined with low electricity costs in some countries, are the main drivers of this trend. Russia, with an average electricity price of just $0.02/kWh, has become an ideal destination for Bitcoin mining, encouraging investors to spend heavily on equipment.
Canada has also emerged as a new Bitcoin mining hub thanks to its abundant and cheap electricity, attracting many miners to set up operations in energy-rich areas. In addition to the advantage of electricity costs, the stable political environment and relatively open policies towards cryptocurrencies in both Russia and Canada also contribute to facilitating Bitcoin mining activities, increasing the attractiveness of these two countries to the global mining community.
The sharp rise in Bitcoin prices, predicted to reach $200,000 next year by experts such as Geoffrey Kendrick of Standard Chartered Bank, has further reinforced the belief in the growth potential of this cryptocurrency. The limited supply of Bitcoin at 21 million coins also contributes to its high value. In this context, Bitcoin miners are not only considered mining tools but also a strategic investment for those who want to participate in the vibrant cryptocurrency market.
