Nowadays, digital money has become highly popular in all business sectors for transaction purposes. However, some people are still doubtful about the reliability of Bitcoin and cryptocurrencies. Therefore, some traders and investors are still skeptical about selling off or holding their digital assets.
In fact, there have been different challenges for crypto investors throughout this year. One of the notable instances is a massive crash in profits. In addition, one of the notable crypto experts, Steve Bassi, has made a striking observation about the unpleasant price movements in the crypto market.
His market watch showed a rising need to encourage crypto traders and investors. However, Bassi also cited that despite the current bearish moves of the digital currency market, there are still chances to generate profits. So to do that, one needs to do long-term crypto mining.
So would you like to know more about whether Bitcoin is still reliable or not and can generate profits? Stay with us until the end, as we will share some of the significant aspects with you.
How Did Steve Bassi Encourage Bitcoin Investors & Traders?
Needless to say, Steve Bassi is one of the most popular names in the world of digital currencies. So the Bitcoin and Ethereum professional Bassi has come up to encourage traders and investors to invest in digital tokens. Therefore, what we can gather from his statement is that short-term crypto miners still have a chance of making profits in the long term.
In fact, Bassi also added that miners could take about 5 to 6 years to complete the cost of one device. However, do you know the reason behind such a long time? He cited that the reason is that the costs of ASIC (application-specific integrated circuit) for miners fluctuate between $8,000 and $12,000.
Moreover, the cost of electricity has covered more than half the estimated fund. So by now, you must have got the gist of the matter that he is trying to say. Let us go into some more details.
What Will Happen If Halving Does Not Occur?
Well, this goes beyond saying that miners could have a bad experience if the price halving does not occur in the coming years. There could be the inefficiency of the devices. They might not last for long. According to Bassi, after every three to five years, the hardware for mining loses efficiency. Therefore, at this point, certain parts need replacement.
So keeping this in view, most hardware operators are encouraged in the knowledge that out of five years, they stand a chance to get a replacement power supply. However, often this is only a replacement of a fan in a wide range of devices. Well, there is another aspect that might encourage the operators. It is the inclusion of cooling water in the current Antminer devices.
In addition, Bassi also added that cooling would not be a problem in the long run if this cooling system continues. However, do you know who would be the competitors? Well, it will the miners planning on using the same cooling system. Yes, they will be the only ones.
So as we conclude, we can say that in today’s world, transactions in business sectors are mainly done in digital currency. Bitcoin is especially very popular in this regard. Therefore, you can have a look at if they can still generate profits in the long run or not.