Bitcoin (BTC) mining stocks tracked by JPMorgan have made a remarkable entry into the new year, outperforming the world’s largest cryptocurrency. According to a research report published last Thursday, 12 out of the 14 companies under JPMorgan’s coverage have shown stronger performance than Bitcoin in the initial weeks of the year.
The report highlights a notable increase in the network’s hashrate, which has risen by 2% month-to-date, averaging 793 exahashes per second (EH/s). This figure stands 51% higher than the same period last year, reflecting growing competition and mining difficulty within the industry.
The hashrate represents the combined computational power dedicated to mining and processing transactions on a proof-of-work blockchain and serves as a critical indicator of the sector’s competitiveness.
Additionally, the hashprice, which indicates daily mining profitability, has experienced a minor decline of less than 1% since the end of December. This decline stems from a situation where “hashrate growth outpaced BTC price movement,” as noted in the report.
JPMorgan’s analysts, Reginald Smith and Charles Pearce, reported that miners earned approximately $54,900 in daily block reward revenue per EH/s over the first two weeks of January—a figure reflecting a 2% decrease compared to the previous month.
Notably, the combined hashrate of the 14 U.S.-listed miners being tracked by JPMorgan has more than doubled over the past 12 months, now accounting for roughly 30% of the global Bitcoin network.
In terms of market capitalization, the mining stocks under JPMorgan’s purview have witnessed a significant boost of 16%, translating to an increase of $4.5 billion in just the first two weeks of the year. Riot Platforms (RIOT) stood out with a remarkable 32% gain, whereas Bitdeer saw a slight decline of 4%.
Looking at Bitcoin’s performance, the cryptocurrency has surged approximately 56% since the halving event in April, demonstrating a growth of around 44% since the U.S. presidential election in November, and a staggering 134% year-on-year increase as reported.
To delve deeper into the financial landscape of Bitcoin mining, check out this article: U.S.-Listed Bitcoin Miners Accounted for 25% of Global Network in December: Jefferies.
