Bitcoin Mining Stocks Surge After Trump Pledges Support for Domestic Mining
Summary:
US presidential candidate Donald Trump's pledge to support domestic Bitcoin (BTC) mining spurred a spike in mining stocks, with shares in TeraWulf and Hut 8 Mining leading gains. Trump's commitment, which included a promise to ensure all Bitcoin mining occurs in the US, positively affected the mining sector's market capitalization, pushing it up to $26.4 billion. However, not all mining stocks experienced growth, with China-based Canaan recording a dip in shares and Marathon Digital and Riot Platforms seeing year-to-date decreases. Trump also explored the potential beneficial implications of Bitcoin mining on job creation and grid stability during a meeting with industry executives.
On Wednesday, shares in companies mining Bitcoin (BTC) experienced significant growth, following US presidential candidate Donald Trump's commitment to enhance domestic mining initiatives. In a June 12 post, Trump expressed his vision for the mined volume of Bitcoin remaining stateside, contending that this would solidify the US as an energy powerhouse. These sentiments were echoed during a recent meeting with leading figures from the mining sector, where Trump expressed his dedication to back the industry should he triumph in the upcoming elections.
In response to Trump's assurances, shares in TeraWulf (WULF) and Hut 8 Mining (HUT) climbed by 10.5% and 10.07%, respectively. This marked them as the day's most substantial performers amongst the top ten most valuable Bitcoin mining firms, according to Google Finance data. Other notable performers in the top five included Core Scientific (CORZ), Iris Energy (IREN), and Cipher Mining (CIFR), recording gains of 9.87%, 9.72%, and 8.94% respectively.
Other industry giants, CleanSpark (CLSK) and Riot Platforms (RIOT), also saw their shares rise by 8.15% and 6.5%, respectively. However, the most valuable Bitcoin miner, Marathon Digital (MARA), saw a modest increase of 2.4%. The sole miner from the top 20 to experience a drop in share price was Chinese-based Bitcoin miner, Canaan (CAN).
The stellar day saw the total market capitalization of the Bitcoin mining industry rise to $26.4 billion, according to Companies Market Cap. This occurred amidst a modest rise of 1.4% in Bitcoin value to $68,365 within a 24-hour period.
CleanSpark and TeraWulf are standout performers in 2024, with year-to-date increases of 58.55% and 66.96%, respectively. Others, like Marathon Digital and Riot Platforms, have not fared as well, with year-to-date decreases of 11.43% and nearly 31%, respectively.
In a recent meeting held with industry executives, Donald Trump discussed the potential of Bitcoin mining to enhance the stability of the electrical grid and drive job growth. The meeting, which took place at Trump's Mar-a-lago resort, featured high-profile attendees such as Riot Platforms CEO Jason Les, CleanSpark executive chairman Matthew Schultz, and Amanda Fabiano, a board director at TeraWulf, all of whom reported positive experiences with Trump.
Published At
6/13/2024 2:45:32 AM
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