Graphics card price crash, is it time to buy?

A new report reveals great news for the average user and the average gamer, since it seems that we are finally reaching the end of the price escalation of graphics cards and we have entered a downward curve where today the cost is close to its MSRP price. What is happening for this to be so? There are several factors that explain it, but we must know that we are about to see an extra cost of only one digit after the new crash in the price of graphics.

What has been experienced in these last two years is going to give more than one industry analyst pause and surely more than one investor. And it is that the price of graphics cards has exceeded a frightening figure: +318% . Now we see it as something distant but it is just a year ago of these outliers and now it finally seems that everything is back on track, as expected.

Graphics card price crash, is it time to buy

The reasons for the crash in the price of graphics

A mix of factors is causing this to happen, one of them was not foreseeable a few months ago within this sector, and we have already talked about the rest on other occasions, so we will start with the latter. The proximity of the launch of the RTX 40 and RX 7000 is a determining factor when the availability of graphics cards of the current series only increases in stores.

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Manufacturers have reacted to the market late and have flooded the logistics chain even though prices were sky-high, and now stores have excess stock, so they have to empty it and since no one is buying waiting for prices to drop to MSRP or below, because that is forcing the collapse to continue.

On the other hand, the imminent launch mentioned forces that said stock has to be emptied more quickly and orders to wholesalers are cut shortly. The average user does not want to pay more and seeing the trend, they will wait until the last second to buy, or they will remain as they are waiting for the new generations in just a few months, which complicates the task of stores in selling their stock and it is to be expected “real” succulent deals.

AMD and NVIDIA close to their MSRP

The values reflect that NVIDIA graphics cards have a lower price drop than AMD ones. Currently we still pay +19% on average on green GPUs and +12% on red ones, all despite the fact that the value of Ethereum is curiously rising again.

The problem is that given current inflation and the foreseeable rise in EU interest rates, which have already been made in other parts of the world, the investment is going to other sectors.

Bitcoin-ethereum-GPU

That is to say, the speculation with the cryptocurrency is less, but given the news about the fact that the change in the Ethereum work mode is delayed at the end of the year, this gives air to those miners who do not consider that their investment in GPUs is has finished, hence also the price is rising.

The problem is that the rest of the factors seem to be weighing more than this last one and therefore it is expected that together with the war in Ukraine and all the economic factors that encompass it, prices will continue to fall and in a couple of months we will be able to buy cards graphs after the collapse of the price at a fair cost and even lower thanks to the aforementioned offers.