22 halving coins set off a 2020 boom: Fierce small mining coins will take you to heaven and hell

How powerful is the halving trend? Let’s first take a look at the growth of the four major halving coins from 2020 to date, in US dollars.

BTC rose from 6871 to 10270, an increase of about 50%. BCH rose from 191 to 471, an increase of about 147%. BSV rose from 92 to 374, an increase of about 300%. ETC rose from 4.16 to 12.15, an increase of about 200%.

Let’s take a look at the performance of the second-tier teams.

DASH rose from 40 to 132, an increase of about 230%. ZEC rose from 27 to 74, an increase of about 174%. XZC rose from 2.76 to 8.24, an increase of about 198%.

At the beginning of January, the above-mentioned 7 cryptocurrencies were considered to be the 7 major currencies that were halved, and they are also the cryptocurrencies generally known by practitioners.

Then, in the past two months, halving coins have sprung up like mushrooms after rain, including some well-known small mining coins, such as ZEN, Beam, and XZC. There are also some very niche mining coins that have also played the name of halving. According to the data provided by Niubiquan, there are currently at least 22 halving coins.

2020 is a year of decline. Is this a destined crazy wealth game or a wealth trap? What impact will it have on the entire market?

The halving market has stirred up the computing power world, but BTC is still the king

Among the coins that have been halved, ETC is the most dazzling star so far. From the perspective of computing power, in the past two months, ETC's computing power has risen from 12T at the beginning of the year to 19.75T on January 30, and then fell back to 15.81T on February 10. QKL123 data shows that ETC's computing power has reached its historical peak.

How is ETH doing? QKL123 data shows that its computing power has increased from 128T to 160.4T on February 10th in 2020. However, the historical high point of ETH's computing power was 293T in 2018.

Judging from this data, there has been no surge in ETC prices or large-scale migration of ETH computing power to ETC.

However, the mining income rankings jointly released by MATPool and Niubiquan show that the theoretical daily income of some GPU mining machines is higher for ETC than for ETH. Why don’t ETH miners go to ETC for mining? Xia Lianchen, the operator of MATPool mining pool, said that the difference in income between the two is actually very small, and large miners are basically still mining ETH.

This shows from the miners' perspective that they are more optimistic about ETH.

Looking at the three major halving coins, data from the official website of Biyin shows that in terms of daily revenue per T, BSV>BCH>BTC, but the gap is very small, which are 1.23 yuan, 1.19 yuan, and 1.18 yuan respectively.

Logically, Bitcoin computing power should migrate to the other two currencies. In fact, this is also true. In the past two months, BCH computing power has increased from 2.8E to 4.83E, an increase of about 72%. BSV has increased from 1.26E to 3.92E, an increase of about 210%. The overall fluctuation of BTC's total network computing power in the past two months is about 10E, and the total amount is stable at around 110E. It can be seen that the growth of BCH and BSV computing power is significantly greater than that of BTC.

However, the amount of this computing power transfer is very small. Perhaps, just as ETC cannot attract ETH computing power, miners still use computing power to support BTC, and BTC is still the only king.

Small mining coins are back, how many of the 22 halved coins do you know?

Small mining coins refer to those coins that have PoW consensus and require mining machines to mine. They are often online for a short time, have low market value, low attention, lack support from mainstream exchanges, and have poor trading depth. They often come into the public eye because of extremely amazing increases. They include well-known small coins such as Grin, Beam, CKB, as well as AXE, IMG, QWC, Sero, etc.

In general, small mining coins often have some characteristics and selling points. Their crazy and exciting price fluctuations interpret the legendary stories of getting rich overnight or escaping death in the digital currency world. They concentrated their efforts in the second half of 2019, and soon fell collectively like a gust of wind. However, at the beginning of 2020, they are back again! Moreover, many of them are halved coins.

The price increases of Sero, AE, IOTE, etc. are quite exaggerated, and the price increase of privacy coins such as Beam is also 100%.

Take Sero as an example. This mining coin, which is called "Anonymous Ethereum", claims that its TPS can reach billions. It once soared from $0.072 to $0.642 within a week, and then slowly fell to $0.036, and many investors were "buried". However, on December 30, 2019, Sero soared 100% in a single day and has now reached $0.1274.

Currently, according to Niubiquan data, the number of halved coins has reached 22, and most of them need to be mined using GPU mining machines.

Halving is a digital currency distribution model that originated from Bitcoin. Today, it has been labeled as “halving = bull market engine”.

When one person succeeds, everyone else will benefit. Driven by the mainstream halving coins, investment in halving small mining coins is on the rise. It is even possible that some small mining coins have given themselves the "halving" label in order to free ride.

Halving small mining coins is becoming a new concept.

Investing in small mining coins, will you get rich overnight or face a life of near death?

At present, among the above 22 currencies, there are 12 with a market value of less than 10 million, and 6 with a market value of less than 1 million. The low market value may mean that it is easy to control the market and the price is more easily affected by large investors. What is more interesting is that some small mining coins have low production, few supporting exchanges, and even need to be traded over the counter.

According to miners, they will not mine small coins for a long time unless they are particularly optimistic about them. This may also be one of the biggest risks of small coins.

Sanyi, the founder of Niubiquan, said in an interview with Babbitt that miners of small coins have no loyalty and sell what they have mined. Once the market value management and mass base are not in place, the buy orders cannot take over the sell orders, and the price may continue to fall. This is a vicious cycle. Once mining is unprofitable, the miners withdraw and the currency may end in tragedy.

At present, due to the blood-sucking effect of mainstream mining coins before halving, graphics card computing power is more inclined to migrate to mainstream mining coins, which also adds more uncertainties to small mining coins.

More importantly, unlike mainstream currencies, it is difficult to find out the technical team behind these small mining coins. It is like a time bomb that may explode at any time.

However, some people have analyzed that as Ethereum enters the 2.0 era, a large amount of GPU computing power may be gradually moved out. At that time, perhaps some small mining coins will benefit from it.

It has to be said that ten years ago, Bitcoin was also a small mining coin, but today, an endless stream of small mining coins are wandering around in the digital currency world with various special functions. Whether it is mining or secondary market investment, it looks like a gambling game. Maybe it is the next Bitcoin, maybe it is nothing. It is highly likely that most of them will be fleeting. Small mining coins are risky, and investors and miners need to participate with caution.