Bitcoin mining stock prices plummet, extend last week’s selloff

Bitcoin mining stock prices were hammered this Monday, with many of the biggest names losing double digits as the cohort continues a correction that began last week.

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Bitfarms experienced the largest decline on the day (-27.1%), followed by Hut 8 (-25.2%), CleanSpark (-20.6%), Cipher Mining (-19.5%), Hive (-19.4%), IREN (-18.5%), and TeraWulf (-12.7%). Riot (-9.8%), Bitdeer (-9.5%), Core Scientific (-7.4%), and MARA (-6.8%) fared better than the rest, but no bitcoin mining stock price in our update was spared from today’s selloff.

Even so, bitcoin mining stock prices for the companies in our update are still up on the monthly, the majority by double digits. 

The bitcoin mining stock price comedown follows a months-long meteoric come-up as these companies probe AI/HPC business lines. 

The forerunner of the bitcoin miner AI race, Core Scientific, is awaiting a shareholder vote to approve or reject its proposed all-stock merger with CoreWeave. Since this deal was struck, IREN, TeraWulf, Hive, and Cipher Mining have emerged as serious contenders by either striking deals with hyperscaler-backed AI tenants (Cipher and TeraWulf), spinning up their own cloud compute (IREN and Hive), and/or inking deals with governments for HPC loads (Hive).

Others, like Bitfarms, Riot, Bitdeer, and CleanSpark, are in the process of standing up their own AI business lines, but they have not announced cornerstone deals for these segments. For its part, CleanSpark recently hired a SVP of data centers for its AI business line.

These AI pivots will be costly, so each of these companies is aggressively fundraising to bankroll their ambitions. Just in the past week, TeraWulf closed a $3.2 billion convertible note, the largest ever for a bitcoin miner, and Bitfarms finalized a $500 million note.

Today’s drawdown aside, JonesResearch recently issued hold ratings for Cipher, IREN, MARA, and CleanSpark, and it has issued buy ratings for Hut 8, TeraWulf, and Riot, citing tailwinds from AI infrastructure development and investor interest in AI.