Bitcoin Miners and other public crypto companies beat the market: JP Morgan

The public traded crypto companies dominated in January and surpass the cryptomarkt itself in terms of growing market capitalization.

Under listed Crypto companies followed by JP Morgan – including Coinbase and Bitcoin Miners such as Marathon and Riot – the total market capitalization of the group expanded by 14% in January and pushed the total appreciation of the Wall Street companies to $ 108 billion.

The Cryptomarkt itself ended January with a market capitalization of approximately $ 3.2 trillion, in which an expansion of 8% was set when President Donald Trump took over the White House after he had positioned himself as the first crypto president of America, JP Morgan wrote Analysts in a Tuesday report.

Nevertheless, the market capitalization of listed crypto companies grew almost double that of the total crypto market when the regulatory environment began to take shape under Trump, analysts noted.

Former SEC chairman Gary Gensler dismissalA controversial crypto bookhoud for banks was fast deployedand acting sec -chairman Mark Uyeda revealed a new one Crypto Task Force—Placing SEC commissioner Hester Peirce, a lawyer in the industry, at the helm of the major initiative.

The price of Bitcoin rose by 9% to $ 102,300 By the end of January, but the market capitalization of Coinbase grew by 17%, although the trade volumes of the stock market fell by 17% compared to the previous month.

The willingness of the SEC to collaborate with crypto companies can go to Coinbase, which the SEC sued About alleged violations of registration requirements in 2023. But the performance of listed crypto companies may have been largely enhanced by special intelligence speculation, according to JP Morgan analyst Charles Pearce.

Riot’s Market Cap expanded 20% in January and surpassed other companies as a miner set Evaluate how extra power capacity in its Texas facility can be used in AI and High-Performance Computing (HPC) settings.

“A part of the story for Bitcoin Miners has become their ability to switch to HPC data centers,” Pearce said Decrypt. “Some shares have an offer from that statement of that statement, which will be separate from how the cryptomarkt in aggregated movements.”

Miners like Bitdeer set Exploring AI that follows Bitcoin’s so -called halving Last year, a four -yearly event earned that reduced the rewards that miners earn by validating transactions. To be specific, the block release from Bitcoin decreased to 3,125 Bitcoin of 6.25 Bitcoin – although the increased scarcity has considerably increased the price of each coin in the months since then.

The asset manager Bernstein assertions Subsequently, that mining companies could derive from AI translations to a third of their future Enterprise value, in the expectation that miners will run to AI around one fifth of their power capacity by 2027.

While Riot unveiled his potential AI -Push, Riot’s executive chairman Benjamin Yi said in a press release that the move up for the coming years can offer sustainable income.

He said: “Although we continue to believe in the considerable advantage of our Bitcoin mining activities, we have had some time the value of having long-term, predictable cash flows of a well-capitalized AI/HPC opposite party.”

Published by Andrew Hayward