By
Bhushan Akolkar
July 26th, 2022
Chia (XCH) price is down approximately 84% since hitting its all-time high of around $1,645.
Chia coin miners are not happy with the continued dip in XCH price for the past few months. Chia (XCH) price has dropped from $1,645 attained mid-May to trade around $259 at the time of reporting. Consequently, Chia miners who had purchased mining hardware tools including large storage SSD and HDD for high prices are now dumping at throwaway prices.
“I am selling my hardware I bought three months ago for a loss,” said Quang Thuan, a Chia coin miner in the southern province of Dong Nai.
Notably, Thuan is a member of a Facebook group consisting of Chia coin enthusiasts. Thuan joined the mining industry at a time when XCH price was pumping hard at the beginning of the year.
The coin was introduced as an alternative to energy-consuming crypto assets like Bitcoin that relies on proof-of-work to secure and mine new coins. At its peak, prices for storage devices including HDD and SSD scaled in most places where mining took place.
However, as more Chia coin sellers outpaced the buyers, prices tumbled to new lows. According to market analytics provided by CoinGecko, Chia’s price dropped to its lowest level of around $162.89. Currently, Chia price is down approximately 84% since hitting its all-time high of around $1,645.
There are 1,642,328 units of Chia tokens in circulating supply out of a set maximum of 22,642,046. This means that more XCH tokens are waiting to be mined by providing storage space.
Chia and its network have a reported market capitalization of approximately $426,029,891 and its average daily trading volume hovered around $79.6 million at the time of reporting.
Chia Coin and Its Mining
Founded by Bram Cohen, the inventor of the BitTorrent network, the coin has emerged as a top proof of space concept token. The biggest gainers of Chia coin have been storage device sellers and manufacturers. Primarily because the mining of XCH tokens significantly degrades the storage hardware and eventually kills its lifespan. Reportedly, a one-terabyte solid-state drive lasts around 80 days while with normal usage it could last 10 years according to Hoang Tuan, owner of a computer store in Ho Chi Minh City.
Hereby cautioning HDD and SDD online buyers to be extra cautious with vendors selling new products at low prices. Moreover, as desperation kicks in, more sellers are likely to lower the HDD and SSD prices in the coming days.
“I haven’t found a buyer in the last three days. I might have to bring the price down to VND2 million so I can switch to mining another coin,” added ThuanRead.
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