Bitcoin Mining Attracts More Investors Following Core Scientific Deal
The bitcoin mining sector is experiencing increased interest from investors following an agreement between Core Scientific and CoreWeave in the field of AI, reports JPMorgan. The total market capitalization of the 14 mining companies tracked by the bank increased by 22%, or $4 billion, after the deal was announced, despite a 7% drop in bitcoin and a 3% rise in the S&P 500 index.
This deal has confirmed and will encourage miners to diversify and transition to high-performance computing (HPC) programs. Iris Energy is best positioned to take advantage of this opportunity due to its excess capacity and independence from bitcoin mining.
Other companies show varying degrees of readiness for changes and competitiveness, considering the cost of capacity and operational history.
