[Hack&Lube]

I haven't read discussion on this anywhere so this is only my personal conjecture from experience. I'm currently predicting a large drop in the value of Litecoins over the next month and maybe even through Q1 2014.

Up until the last 2 weeks of November when Litecoin began it's climb past $40, there was a lot less mining than there will be in December. When BTC and LTC started to go up, a lot of the old GPU miners came out of the woodwork and all the new miners and layfolk jumped in because they smelled blood in the water.

All the effective mining cards sold out in vast quantities online over the last weekend. That means all these cards will probably be in place for mining after this weekend (assuming about a week for shipping and set up for most people).

Rapid difficulty adjustments from all these new miners getting in means a smaller piece of the pie that all these LTC miners made their projections on. The result will be a buyer's market where all the new miners are a little more desperate to sell LTC in Q1 2014. This will flood the market with cheap LTC and put a huge downward pressure on the price of LTC.

Us Bitcoin miners from 2 years ago saw this exact same thing happen. Bitcoin was sitting at around $25 when the pool of miners suddenly increased as everybody caught onto it and wanted to get into the game. Everybody was desperate to sell to recoup their costs or pay their bills and more and more miners were willing to take $20, $15, $10, etc. until the value of BTC was forced below $5 which lasted almost 1.5 years. Maybe mine alt-currencies and wait out the non-serious folk and then buy up their cards when they put them on the market for cheap as they try to get out.

I think my strategy right now is maybe to sell my LTC to prepay for some of my equipment and power costs and settle in for the next couple of months for a more long-term mining strategy.