Key Takeaways:
Powered by lumidawealth.com
• 12 of 14 tracked mining stocks outperforming Bitcoin YTD
• Network hashrate up 51% YoY, reaching 793 EH/s
• Tracked miners now represent 30% of global network
• Mining stocks’ total market cap up 16% ($4.5B) in early 2025
What Happened?
JPMorgan’s research reveals Bitcoin miners have started 2025 with remarkable momentum. The combined hashrate of tracked miners has doubled year-over-year, now representing approximately 30% of the global network. Mining stocks have gained 16% in market cap since January, with Riot Platforms leading at 32% growth. Daily mining profitability remains stable at ~$54,900 per EH/s despite increased network competition.
Why It Matters?
The strong performance indicates growing institutional interest and professionalization of the mining sector. The significant increase in hashrate suggests robust investment in mining infrastructure, while miners’ outperformance of Bitcoin itself points to improving operational efficiencies and market confidence. This comes amid Bitcoin’s broader gains of 56% since the April halving and 134% year-over-year appreciation.
What’s Next?
Key areas to monitor include:
- Impact of increased network competition on mining profitability
- Sustainability of miners’ stock performance vs. Bitcoin
- Effects of upcoming market events on mining economics
- Further consolidation of mining power among public companies
- Energy costs and efficiency improvements
The sector’s trajectory will likely be influenced by Bitcoin price movements, energy costs, and technological advancements in mining equipment. Continued institutional interest could drive further professionalization and consolidation in the industry.