Bitcoin Miners Marathon Digital and Riot Platforms Surge as Bitcoin Price Surpasses $51,000
Bitcoin miners Marathon Digital Holdings, Inc. (MARA) and Riot Platforms, Inc. (RIOT) are experiencing a surge in their share prices as Bitcoin (BTC/USD) trades above $51,000. As the price of Bitcoin approaches the $52,000 mark, both companies are benefiting from the cryptocurrency’s rally.
Bitcoin’s recent price surge has allowed it to regain $1 trillion in market capitalization, a level not seen since 2021. This increase in value may be attributed to the approval of several spot Bitcoin exchange-traded funds (ETFs) and the resulting institutional purchases. Investors are also anticipating the upcoming Bitcoin halving event, expected to occur in April.
The halving event will reduce revenue for Bitcoin miners, prompting them to focus on preparations such as improving efficiency and maintaining capital. This event has led to increased attention on companies like Marathon Digital and Riot Platforms as they strategize to weather the impact of reduced revenue.
John Todaro, an analyst from Needham, maintained a Buy rating on Riot Platforms and lowered the price target from $19 to $18. This adjustment reflects the ongoing challenges faced by Bitcoin miners ahead of the halving event.
The surge in Bitcoin’s price and the prospects of future institutional purchases have driven up the share prices of Marathon Digital and Riot Platforms. At the time of publication, Marathon Digital shares are up 11% at $28.57, while Riot Platforms shares have risen by 8.65% to $16.78.
The recent rally in Bitcoin’s price and the positive performance of Bitcoin miners reflect the growing interest and acceptance of cryptocurrency in the financial market. As Bitcoin continues to reach new highs, investors and industry experts will closely monitor its performance and the implications for the wider cryptocurrency ecosystem.
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