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Sell your shares now this is a pointless stock worth nothing at all
Going to the moon! Bitcoin is the future. Now if only there was a way we could figure out how to mine bitcoin using sunlight we would literally be printing money! LOL!!
#RIOT
Well that would certainly be an explanation.
Thanks
I don't see how this isn't at at least $15? Makes no sense it has to correct soon, I'm all in.
Seems obvious to me but hey I'm no hedge fund operator lol
Riot Video
Riot Blockchain Announces June 2022 Production and Operations Updates
https://ih.advfn.com/stock-market/NASDAQ/riot-blockchain-RIOT/stock-news/88533104/riot-blockchain-announces-june-2022-production-and
How long will the crypto winter be?
https://mashable.com/article/bitcoin-miners-selling-crypto-crashes
Interesting read based on data from the past. IMO the bear market will go into next halving so about 2 more years, which is also based on data from the past. 900 new coins a day is too much. I wonder where it will be in 2036 when only 56 coins will be minted a day.
Bitcoin [BTC]: Miners may be capitulating, but is that all there is to it
June 26, 2022
By Aaryamann Shrivastava
Bitcoin’s [BTC] standing revolves around investors and HODLers, but it also depends on BTC miners. As opposed to just relying on broader market cues, Bitcoin enthusiasts should also pay attention to miners’ behavior.
At the moment, miners are responsible for creating the environment that may be required to sail the king coin through the bear market.
Miners on a bear hunt?
With the market hitting major lows over the last few months, Bitcoin ended up falling to $17.5k at one point recently. However, everything turned around for the crypto soon after, pushing BTC back up to trade at $21.3k on the charts.
Despite the small recovery, miners have started capitulating, which is usually the last leg of the bear market. Miner capitulation usually takes place when the value of Bitcoin as a reward tends to be lower than the value of operating or mining Bitcoin for the miner.
As a result, the miner ends up turning off their mining rigs or turning them off and selling their supply of BTC to recuperate the losses endured.
While it may sound alarming, there may be some hope. The ongoing capitulation may eventually help weed out weaker miners, leaving the charge to stronger miners who refrain from giving in to the selling pressure in the market. Ultimately, this leaves BTC in state wherein the crypto can recover from its crashes.
Furthermore, as per the Hash Ribbon, miner capitulation has already begun since the 60-day MA crossed over the 30-day MA.
This can be further verified by the recent selling spree triggered by miners. In fact, in May alone, 4.271k BTC worth $91.21 million were sold.
Bitfarms, one of the world’s largest Bitcoin mining companies, sold about 3k BTC worth $64 million in June to boost liquidity. Regardless, once the Hash Ribbons’ momentum reverses itself, miner capitulation will come to an end and that is when BTC can begin climbing up the ladder.
Something similar was observed back in August 2021 when the 30-day MA crossed over. For the next three months, Bitcoin rallied, hitting its all-time high of $67.5k.
If Bitcoin intends to reclaim its highs, it will need to rally by 222% (ref. Bitcoin price action image), which would only happen thanks to a full-fledged bear hunt.
Bitcoin miners are liquidating some of their holdings
Good overview of Crypto Miners
People just don't get that miners are dime a dozen. With P/E over 25, how are they undervalued?
Seems like they have made enough money they can buy the shares on the cheap now
Thanks for the article NQ.
Greedy bastards for sure while the little guys continue to get kicked in the nuts.
Wash Rinse Repeat
GL
Need to sell some of their coins and buy shares back at these prices
Everything is getting hammered.
Where’s the bottom?
Stay tuned
Premarket 4,39 ouch!
With the cryptos going down, to much risk to buy here now
Roth Capital Reiterates Their Buy Rating on Riot Blockchain (RIOT)
https://ih.advfn.com/stock-market/NASDAQ/riot-blockchain-RIOT/stock-news/88331485/roth-capital-reiterates-their-buy-rating-on-riot-b
Strong balance sheet crypto miners will be the survivors. Especially those miners that did not HODL.
I am in MIGI --- access to capital. Probably will be buying crypto mining machines cheap from the failing companies.
https://mawsoninc.com/
Just an idea
This is good. It moves the coins out from miners hands and to the people where it belongs. The public miners can just issue and sell more stock to keep operations going. Look at the Texas Mining Facility the shareholders are building.
Look at the outstanding, its going to balloon in the next 2-3 years to pay for Texas.
https://ycharts.com/companies/RIOT/shares_outstanding
Texas First Phase Estimations $$
https://www.datacenterdynamics.com/en/news/riot-blockchain-to-build-1gw-cryptomining-farm-in-texas/
Bitcoin Miners Are Selling Tokens as Prices Linger Near Lows
Flow from miners to exchanges seen as indicative of more sales
New miners that counted on higher prices may face liquidations
By
Jialiang David Pan
June 5, 2022
Bitcoin miners are beginning to sell tokens they’ve hoarded to cover burgeoning costs with the prospects for industry growth slowing and the price of the largest cryptocurrency showing few signs of rebounding following the recent collapse from record highs.
Miners transferred about 195,663 coins to exchanges in May, the biggest monthly increase since January, according to data from Coin Metrics compiled by Compass Mining. Based on Bitcoin’s average price of around $32,000 in May, the total value of the tokens was about $6.3 billion.
That indicates companies may be moving large amounts of coins stored in their digital wallets to exchanges for sale. To be clear, the number does not necessarily mean miners are selling that many tokens since some miners would put their coins in exchanges for other transactions and not sell.
Sellers include publicly traded miners such as Riot Blockchain Inc. that had been stockpiling Bitcoin on a bet that prices would keep appreciating. They had served as a proxy for equity investors that wanted to gain crypto exposure without actually owning the tokens. Smaller miners who face large liquidations are also selling their Bitcoin. The token has dropped about 35% this year.
“I think miners are just talking about the macro environment and think it is probably prudent to sell Bitcoin in these levels in order to keep the operations safe,” said Will Foxley, director of content at mining hardware marketplace and hosting services provider Compass Mining.
More large-scale public miners have become cash-strapped as it became harder to raise capital through debt or stock sales during a recent bear market. They’re also seeking wider profit margins as the companies expand. Riot is building a mining facility with one gigawatt capacity in Texas after it has completed its 750-megawatt site, which is one of the largest mining farms in the US.
Miners are also trying to pay for mining machines they ordered months ago while putting down non-refundable deposits in millions of dollars.
A wave of small miners that came in during the bull cycle and bet big on Bitcoin prices rising are now at risk of needing to liquidate their mined coins, said Matthew Schultz, executive chairman of crypto-mining company CleanSpark.
Cathedra Bitcoin Inc., a small-scale miner, had to sell almost all their holdings to maintain their mining operation.
“We have spent the last several weeks restructuring our balance sheet and operations to ensure Cathedra is well positioned to endure a prolonged economic downturn,” Cathedra Chief Executive Officer AJ Scalia said in a statement.
The flow data tracking transactions between miners and exchanges is one of the best proxies for sales of mined coins, but it has limitations. While the data includes digital wallets from major exchanges such as Binance and Gemini, it doesn’t have data from Coinbase due to the biggest US exchange’s wallet design. Some of the miners also opt to liquidate their crypto holdings through over-the-counter trading desks, whose trading data is typically not public, Foxley said.
Shares of public miners have been hit hard this year. Riot is down 72% since December, while Marathon Digital Holdings Inc. has slumped a similar amount.
https://www.bloomberg.com/news/articles/2022-06-05/bitcoin-miners-are-selling-tokens-as-prices-linger-near-lows
You are welcome. There are some great opportunities out there in the crypto mining space. When things were good and market sentiment was positive and Bitcoin prices were up, companies boasted about how many machines they had ordered and how many they projected to be up and running by a certain time.
Now we come to find out that there are companies that do not have access to cheap power like they had imagined. And some companies do not have the expertise to get the machines they finally get delivered to be get deployed quickly.
Some of these companies are burning so much cash, they are selling their bitcoins to operate--which means they will have to take the "loss" from the previous quarter's higher bitcoin price.
MIGI is a crypto miner that I did not hear of--or was on any list of crypto mining companies-until pretty recently. So far, I am impressed because they have not diluted to pay operating costs--they sell their bitcoin on an ongoing basis. Just expanded into PA and TX from a big facility in GA.
But to see that RIOT sold 50% of their bitcoin holdings is really going to whack their next quarter's earnings. Just be prepared for that.
Thanks for the article Conix.
Crazy/concerning times for all everywhere.
Stay safe and GLTU/A
Bear Market Outlook: Public Bitcoin Mining Companies And Their Profitability
by Best Owie
in Bitcoin
As the market inches towards what looks to be a bear market, bitcoin investors are looking towards other blockchain avenues to weather what is expected to be a long winter. Public bitcoin miners are one of the avenues that grew to prominence through the bull rallies of 2021. The growth of the value of their stocks during this time had drawn investors to them, and as the market slows down, we take a look at which of these public miners are best positioned to weather a crypto winter.
Looking At The Companies
There are currently a number of companies that dominate the public bitcoin mining space. Among these are popular ones such as Marathon, Core Scientific, Riot, etc. Now, all of these companies have been badly hit since bitcoin had begun to decline. However, some have managed to shoulder the decline in interest better than others. This is apparent in their market caps even after recording more than 50% in losses from their peaks.
To determine which of these are best prepared for a bear market, we take a look at their energy prices. Electricity is the bedrock of crypto mining and is often the highest running cost of any miner. So the lower the power costs, the better.
Among the top public mining companies, Riot has emerged as the company with the lowest power prices. The company only pays $24 per MWh according to recent data, meaning it has the lowest electricity running cost of the top 5 companies. It also boasts the lowest debt relative to equity which is currently sitting at a 0.1 debt-to-equity ratio. Marathon, however, has a debt-to-equity ratio of 1.0 meaning it possesses more liquidity compared to Riot.
Interestingly, none of these companies possess the largest market cap. That title belongs to Core Scientific with a $1.370 billion market cap. Marathon comes in second place with a $1.092 billion cap, and Riot is in the third position with $920 million in market cap.
When measured on an overall scale, Riot emerges as the company best suited to weather a bear market. Its lower power cost and healthy balance sheet puts it in a unique position to spend less on its activities compared to competitors and still pull in a profit.
The Best Bitcoin Miners
The mining machines used by bitcoin miners can often determine their profitability. Cash flow from the leading bitcoin miners have dropped by more than 50% from its peak but still remains at a favorable point. The first is the Antminer S19 which had a cash flow of more than $50,000 per BTC at the height of the bull rally last year. But as of the end of May, the profitability of this miner has since dropped to $23,000 at the current bitcoin price of $31,000.
The Antminer S9 is not faring well either. At current prices, this mining machine is seeing a cash flow of $8,000 per BTC mined. This shows how quickly the mining profitability is dropping causing concerns regarding the future of this space.
If the production cost continues to go up and cash flow from the miners continues to drop, then a number of bitcoin mining companies will not make it through the bear market. What will result will be a number of bankruptcies due to increased M&A activity.
Bitcoin Miners Are Selling Off Their BTC Holdings to Cope With Market Headwinds
As the price of bitcoin falls, miners are cornered into powering off or selling their holdings.
By Eliza Gkritsi, Aoyon Ashraf
Jun 1, 2022
CoinDesk
Bitcoin miners at work (Sandali Handagama)
Bitcoin miners are selling off their mined tokens as the tumbling price of bitcoin erases profit margins at the same time capital markets are becoming less friendly.
CoinDesk - Unknown
Bitcoin miners are selling off their mined digital assets. (Compass Mining)
Miner flows to exchanges have reached their highest point since January, Compass Mining – a bitcoin mining services company – wrote in a research note today using data from CoinMetrics. "Miners may begin to sell hodl'd Bitcoin into the open market," wrote Compass. "At the very least they are feeling the pain after the last major dip in price. Couple this with a downwards difficulty adjustment – indicating miners powering off – and it seems miners may be hitting a wall in profitability."
Mining bitcoin (BTC) has become less profitable as the price of the crypto has trended downwards, with popular machines like Bitmain's Antminer S9 becoming money losers at electricity prices of six cents per kilowatt hour. Struggling miners who would prefer not to shut down their rigs can look to raise capital in the debt or equity markets and/or sell off bitcoin holdings.
Argo Blockchain (ARBK) plans to raise debt and sell some of its bitcoin to cover expenses, the company said in an analyst call for its first quarter results. Core Scientific (CORZ), the world's largest miner by hashrate, has already sold some of its mined bitcoin this year and plans to continue doing so. Previously a confirmed HODLer, Riot Blockchain (RIOT) sold nearly half of its mined bitcoin in April after having also sold a sizable amount in March.
Cathedra Bitcoin in a May 30 statement said it sold 235 bitcoins during the month in a move to raise liquidity and "insulate" itself from further price declines. The company also had a tough April, operating at 45% of expected hashrate throughout the month thanks to storms affecting its North Dakota site.
There's also Marathon Digital (MARA), which – at its earnings call in early May – suggested it may sell some of its bitcoin.
The most recent note comes from Toronto-based Digihost, which today said it sold off a portion of its mined bitcoin to help fund energy costs.
People just don't get that the miners are the network...miners are way undervalued...
Gifton
Just buy the coin itself. Riot hold's approximately 6,000 btc. That breaks down to 0.0000472 btc per share. That is less than $2 of bitcoin per share. They also sold 200 btc in 2022, so they got money while shareholders hold the bag.
Bought some yesterday....should have waited!LOL....Oh well taking this long anyway.
GOOOO RIOT!
Friday I finally wrote a couple covered calls on RIOT and MARA, and today I wrote the RIOT 7 put and MARA 9.50 Put, but who knows in this market it could get pushed down into those ranges again I dont know,
thanks good stuff, I have exposure now in RIOT, MARA, HIVE and BTBT, plus huge exposure to NILE, there is no hiding anywhere. My plan is to write some covered calls but everytime I have done that I get run over and walk away with normal profits. My feeling is that these stocks are so oversold they will literally explode and there will be no getting out of their way, so I would want to see the explosion get going and then write a call or two. I added MIGI to my ticker list. They're all oversold and liquid, it probably doesnt matter which ones you choose to buy and trade.
HODL crypto miners are getting clobbered. RIOT was smart to sell periodically. HIVE never sells--and is down huge. MIGI sells as they mine. But they are still down because no one knows about them yet--even though they have 36,000 machines going.
RIOT's problem is that it got WAY overvalued and long time holders who may have averaged down on the way down may be getting margin calls.
JMHO
the drop in share price for the miners has been breathtaking. I picked up a few hundred the other day around 11.50 and now another hundred at 10.20 post-market. This is unbelievable, I mean, its as if the market is predicting a collapse in bitcoin. Meanwhile RIOT sold a bunch of coin at $47K last month, smart, take off the table at good prices. People might say, hah! thats dumb, why sell when its going to da-moon. Well, it may not go to da-moon and if so we dont know when, and keep cash on hand for expenses. But 10 bucks a share for RIOT, are you kidding me, my goodness, sure it could go down further, but we are reaching such oversold levels, it just has to bounce.
The beating continues.
GL!
Certainly been beat down
Roth Capital Thinks Riot Blockchain’s Stock is Going to Recover
https://ih.advfn.com/stock-market/NASDAQ/riot-blockchain-RIOT/stock-news/87943021/roth-capital-thinks-riot-blockchain-s-stock-is-go
Looks like it was
Nice article, thanks for posting! Made my day
Yes. The world on the edge. Bitcoin and share buyers everywhere are nervous for sure. May 9th could be a key date seeing as Putin needs some kind of "good" news for his parade on that day so perhaps some kind of peace deal will be signed before then. If not, it could all get worse. I keep asking myself, "ok what's next to stop BTC improving ?" ! GLA
The situation is indeed precarious...
So far, all the markets are going down...Inflation is big.
Bitcoin is bearish + war in Europe and it is not clear how things will develop further
We'll see...
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