Here’s Why Cryptocurrency Mining Stocks Need Your Attention

The cryptocurrency prices, especially the Bitcoin price, are up. 

Cryptocurrency mining stocks saw a steep spike on Monday as Bitcoin prices saw steady growth. Another reason for the growth is the support received from the U.S Infrastructure bill that would exclude miners from paying additional tax. 

Cryptocurrency mining stocks that are under the spotlight now are BIT Mining (BTCM), CleanSpark (CLSK), and Bitfarms (BITF). These stocks were up by more than 10% on Monday (21%, 12%, and 11% respectively). Other stocks that have come to light are Riot Blockchain, Marathon Digital Holdings (MARA), Hive Blockchain Technologies (CVE) that were up by 8%, 5%, and &% respectively. The crypto mining stock that saw a dip, however, is Argo Blockchain which was down by 2%. 

Mining stocks follow the trend that Bitcoin holds. According to Micheal Del Grosso, an analyst at Compass Point Research, "Mining stocks currently are levered plays on the price of Bitcoin. All of that is occurring while the hash rate is relatively muted, because of the Chinese miner disruption, which is still taking months to shake out." 

In the past 24 hours, the Bitcoin price was up by 6%, now trading at US$45,840 (at the time of writing), rising from US$43,600. The growth of mining stocks has aligned with bipartisan support for the US Infrastructure bill that would exclude miners from becoming "brokers" under the crypto tax provision of the infrastructure bill.