Marathon Digital Stock Drops 30% Amid Rising Energy Costs

In 2024, Marathon Digital’s stock dropped by 30% due to the sharp rise in energy costs, which severely impacted the company’s profitability. While Bitcoin’s price rose by 44% during this period, it was not enough to offset the rising production costs. Many mining companies, including Marathon, are forced to find ways to optimize their expenses and improve equipment efficiency.

In response to these challenges, Marathon Digital plans to increase its computing power to 50 EH/s by the end of 2024, which should help mitigate the losses. However, pressure on miners continues to mount, and long-term prospects remain uncertain, especially with growing competition in the mining industry.