Mining Stocks Stage Comeback, Racing Bitcoin’s Rally
CleanSpark, Iris Energy the biggest winners in November
Over the past three weeks, major bitcoin mining stocks have shown strong performance in catching up with bitcoin’s rally since mid-October, with CleanSpark and Iris Energy leading the run.
Up until July, many bitcoin mining stocks had outperformed bitcoin itself by large margins. But as bitcoin’s price retreated to $25,000 in Q3 from north of $30,000, mining stocks went into disarray with many shedding more than 50%, as described in a previous issue.
Bitcoin’s price started to rally again on Oct. 13 and quickly set a new YTD high above $32,000 on Oct. 24 before reaching 18-month highs of over $37,000 on Nov. 9. During this time, mining stocks mostly had sluggish performance compared to bitcoin, especially the ones with the largest market capitalization, such as Marathon and Riot.
However, mining stocks bounced back significantly over the past three weeks when bitcoin’s price only went up by 4.2%. During this time, CleanSpark jumped by 78.6% from $3.69 to $6.59, followed by Iris Energy, which also saw a sharp increase of 63%. With that growth, CleanSpark’s market capitalization crossed the $1 billion threshold for the first time as of Nov. 29.
Overall, CleanSpark, Marathon, Iris Energy and Bitfarms outperformed bitcoin since bitcoin’s mid-October rally. Interestingly, CleanSpark, Iris Energy and Bitfarms have been consistently on the lower end of TheMinerMag’s price-to-hash ratio below, a metric that measures a company’s enterprise value per each realized bitcoin hashrate.
Also notable is that Bitfarms’ daily trading volume skyrocketed over the past few days, likely a result of its hashrate expansion plan announced on Monday after markets closed. The trading volume of BITF on the Nasdaq exchange was about $40 million on Thursday, which was four times that on Monday.
Regulation News
Waynesville bans cryptocurrency mining operations - Northwest Georgia News
Hardware and Infrastructure News
Self-Claimed Victim Says Hackers Paid the 83.6 BTC Fees - TheMinerMag
Bitcoin Miner HIVE Set to Acquire Another Site in Sweden - TheMinerMag
Bitfarms Buys 6.8 EH/s of T21 Bitcoin Miners for $95 Million - TheMinerMag
Bitcoin Mining Could 'Mitigate' Climate Change: Cornell Study - Decrypt
Corporate News
Ex-CBOE Digital Head Joins Bitcoin Miner Argo as CEO - TheMinerMag
Merge between Hut 8, USBTC expected to close this week - Blockworks
Northern Data Buys Another 8,200 NVIDIA GPUs with $360 Million - TheMinerMag
Financial News
Bitcoin Miner Bitfarms Raises $44 Million in Private Placement - TheMinerMag
Canaan Reports 48% Decline in Q3 Bitcoin Miner Sales - TheMinerMag
Jack Dorsey Leads $6.2M Seed Round in Luke Dashjr’s Mining Pool Startup - TheMinerMag
Feature
Bitcoin's Hashrate War Between Antpool and Foundry Intensifies as BTC ETF Nears - CoinDesk
Inside two mining operations turning Texas power into crypto profits - The Dalls Morning News
Antpool’s $3M Transaction, F2Pool Censoring and Mining Stocks W/ Anthony Power - The Mining Pod
The First Stratum V2 Pool W/ Alejandro De La Torre - The Mining Pod
Launching Ocean Pool W/ Bob Burnett - The Mining Pod