Bitcoin Miners Surge in 2025: JPMorgan Reports Unprecedented Growth!

At the start of 2025, Bitcoin mining companies started off impressively. In fact, twelve out of fourteen mining stocks under observation by JPMorgan surpassed Bitcoin itself in the first fortnight of the year. JPMorgan’s research indicates a positive outlook, as the performance data suggests a thriving mining sector.

The computational power of the global mining network has seen a 2% rise over the past month, averaging approximately 793 quintillion hashes per second (EH/s). This represents a significant 51% surge compared to January 2024, reflecting increased competition and harder mining conditions. Interestingly, miners have managed to keep hash prices relatively steady, with just a minimal decrease of less than 1% since December.

JPMorgan analysts Reginald Smith and Charles Pearce pointed out that miners were receiving around $54,900 per day in block reward income for every hashing power (EH/s) they possessed, early in January. This figure represented a slight 2% decrease from the previous month, December. Despite this small decline, overall industry optimism persists as businesses adapt to changing market conditions.

US Miners Gains $4.5B in Just Two Weeks

As an analyst, I find it noteworthy to highlight the strong market performance of the 14 US-listed mining companies under JPMorgan’s coverage. In just the first fortnight of 2025, the total market capitalization has experienced a significant surge of 16%, equivalent to approximately $4.5 billion.

Among the notable performers, Riot Platforms (NASDAQ: RIOT) has made a remarkable stride with a 32% increase in value. Conversely, Bit Origin Ltd (NASDAQ: BTOG) has seen a reverse trend, recording an over 30% decrease during the same period.

Source: Bitcoin Mining Stock

In addition to Riot Platforms, Cathedra Bitcoin (TSXV: CBIT) experienced a 25% increase so far this year. As reported by Bitcoin Mining Stock, Bit Digital Inc (NASDAQ: BTBT) and Digihost Technology Inc (NASDAQ: DGHI) also saw significant gains, with Bit Digital recording a 23.90% increase and Digihost Technology achieving a 23.33% rise. Meanwhile, CleanSpark Inc (NASDAQ: CLSK) reported year-to-date gains of 21.38%.

As an analyst, I can report that while certain miners have experienced some hurdles, the broader bitcoin mining sector is generally moving upwards. Interestingly, the collective market capitalization of 31 publicly listed bitcoin mining firms currently amounts to $44.09 billion. Remarkably, 26 out of these companies have seen their stocks increase in value against the US dollar.

Bitcoin 144% Year-on-Year Growth Fuels Optimism

Bitcoin (BTC) is currently trading at $103,812 with a 24-hour volatility of 5.5%. It boasts a massive market capitalization of $2.06 trillion, and over the past 24 hours, its volume has reached an impressive $61.70 billion. Since the April 2024 halving event, it has seen a steady climb with a 61% increase, while also experiencing a 51% surge since the US presidential election in November. Remarkably, Bitcoin has experienced a year-on-year growth of 144%. This upward trend suggests a vibrant and profitable ecosystem for miners and investors alike.

Publicly traded mining companies have shown impressive strategic foresight, collectively holding approximately 92,473 Bitcoins as of December 2024, as reported by TheMinerMag. Concurrently, several organizations are expanding into the areas of high-performance computing and artificial intelligence infrastructure, suggesting a shift towards diversification that aims to bolster future income sources.

Source: The Miner Mag

Although miners generally have a positive perspective, they encounter challenges due to Bitcoin’s price failing to reach the predicted $100,000 mark. However, their rising share performance suggests optimism about the sector’s durability. For example, Core Scientific (Nasdaq: CORZ) saw minimal decrease of just 0.06%, with projected earnings of approximately $97,790,600.

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2025-01-17 18:33