Bitcoin (BTC) mining stock performance was mixed in the first two weeks of April, and pure play operators are better than those exposed to high performance computing (HPC), JPMorgan said in a research report Wednesday.
Only Mara Holdings (Mara) and Cleanspark (CLSK) were superior to the largest cryptocurrencies during the period, but miners exposed to HPC used in applications such as AI such as Bitdeer (BTDR), Terawulf (Wulf), Iren (Iren), and Riot Platforms (Riot).
The bank noted that March is a good month for registered miners in the US. They added 15 exhahash per second of capacity and mined more tokens. The first two weeks of April weren’t that positive.
“The growth in network hashrates outweighed the expansion of US operators, with average Bitcoin prices falling in the first half of April, putting pressure on the mining economy,” wrote analysts Reginald Smith and Charles Pierce.
The bank estimated that registered US miners are currently trading proportional shares about 1.2 times the four-year block reward opportunity. This is the lowest level in over two years.
Miners earned about $41,500 in daily block compensation revenue per EH/s in the first two weeks of the month, down 12% from March, the report said.
The network hashrate rose by 85 EH/s to an average monthly average of 900 EH/s, the bank said. Hashrate refers to the total computing power used to mine and process transactions on the Proof of Work Blockchain, a proxy for competition and mining difficulties in the industry.
The total market capitalization of 13 US-listed Bitcoin Miners, whose bank tracking fell 2% to $16.9 billion in April.
read more: Bitcoin mining profitability fell 7.4% in March due to lower prices and trading fees: Jeffrey’s
