BTC mining stocks remain a preferred asset over bitcoin

During the past year, during a severe crisis, only a handful of mining companies were able to prevent a massive sell-off in bitcoins. Most, including Bitfarms and Core Scientific, sold previously mined coins to be able to meet current obligations. Stocks are down 32% in 10 months. 

This year, despite the decline in crisis trends, some companies are still selling reserves. Moreover, this applies even to those who previously pursued a strategy of keeping reserves. For example, BTC-miner HIVE recently announced its intention to sell some coins. Note that this applies to bitcoins mined with video cards, while the company intends to keep the bitcoins obtained with the help of asic. 

Also, public miners increased the hash rate by 129%, which led to a global increase in complexity. The network hashrate reached the level of 300 Eh/s. According to experts, the next increase in complexity will take place shortly and will be a record 12%. 

This will lead to the fact that miners, the pressure on which has decreased a little recently, will again face a drop in income. In addition, for many of them, there will be a question of replacing obsolete models of equipment, which will no longer be able to work effectively in conditions of increasing complexity. This also requires additional expenses, as the price level of cryptocurrency mining devices has started to rise. 

As for investing, shares of public miners have been leading the market for several months. For example, Iris Energy securities quotations rose by 255%. Among the stocks that have also impressed the rise are Bitfarms, Hut 8, and HIVE. 

Despite the significant volatility inherent in the entire crypto market, investing in publicly traded mining companies offers investors greater earnings prospects than bitcoin itself.