Analysis: Multiple Bitcoin mining company stocks defy the trend and strengthen, with short covering and electricity advantages being key drivers

BTC0,13%

ChainCatcher reports that, according to CoinDesk, although Bitcoin prices have fallen nearly 17% this month, the stock prices of several Bitcoin mining companies have defied the trend and strengthened. For example, TeraWulf’s stock price has increased by 31% this month, Cipher Mining by 8%, Hut 8 by 6%, and Core Scientific has remained essentially flat.

Analysts believe that Bitcoin mining companies are currently among the targets with a high short-selling ratio by hedge funds. If the fundamentals improve, a short squeeze could be triggered. These companies have secured long-term and attractive power contracts, giving them structural advantages in energy costs. Their strategic value extends beyond just Bitcoin mining operations. Capital is flowing toward “structural winners,” while traditional mining companies may face the risk of being marginalized.

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