Analysis: Several Bitcoin mining companies' stock prices rise against the trend, with short covering and power advantages as key drivers
According to CoinDesk, although the price of Bitcoin has fallen nearly 17% this month, the stock prices of several Bitcoin mining companies have risen against the trend, such as TeraWulf, which has increased by 31% this month, Cipher Mining by 8%; Hut 8 by 6%; and Core Scientific remaining basically flat.
Analysts believe that Bitcoin mining companies are currently one of the targets with a high short-selling ratio among hedge funds. If the fundamentals improve, it may trigger a short covering rally. These companies have secured long-term and attractive power contracts, giving them a structural advantage on the energy cost side. Their strategic value goes beyond just Bitcoin mining, and capital is flowing towards "structural winners," while traditional mining companies may face the risk of being marginalized.
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