Bitcoin mining stocks underwhelm in March, but brighter days could be around the corner

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Bitcoin mining stocks struggle to hold onto their Q1 gains due to increasing market competition and uncertainty around BTC’s recent price rally.

Bitcoin mining stocks had a dull performance in March, with small moves here and there that followed BTC's price movement. While it is encouraging to see that most stocks held onto their impressive January gains, Bitcoin's price action will be crucial for the short-to-medium-term performance of these stocks.

The median monthly gain in the top ten mining stocks is 0.30%, with an average of 5.21%. Riot Platforms and Cipher Mining led the monthly gains across the sector with a 28.64% and 24.34% rise. CleanSpark, Inc. and Bitfarms Ltd. were the worst performers, with negative 6.52% and 5.79% moves.The average Q1 2023 gains across the top ten Bitcoin mining stocks is 128%. These shares yielded the majority of their Q1 2023 gains in January.

The increase in Bitcoin’s price is only part of the reason behind the hashrate surge. The discrepancy in miner incomes can be attributed to the increasing mining difficulty. It was mainly due to the delivery of new machines across America, which increased the network’s processing power and difficulty.imported 1,555 tons of machines, which has propelled the network’s hashrate to its current peak.Bitcoin monthly estimate of miner shipments and the network’s hashrate.

"If there’s no major uptick in the shipment gross weight in the rest of March and into April, the growth rate of bitcoin’s network hashrate may gradually slow down.”

 

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It's definitely been a wild ride for bitcoin mining stocks this quarter.

If price goes down miners cant pay operation costs, if markets go up 'competition and uncertainty' cmon...

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