Stocks tied to Bitcoin mining surpass Bitcoin itself as companies focus on the application of Artificial Intelligence in computing.
In the dynamic world of cryptocurrency, September 2025 saw a notable shift as Bitcoin mining stocks outperformed the digital currency itself. Shares of Cipher Mining, TeraWulf, Iris Energy, Hive Digital Technologies, and Bitfarms surged between 73% and 124%, marking a significant turn of events.
This surge comes amidst a projected 4.1% increase in the next difficulty adjustment for the Bitcoin network, a move that typically puts pressure on mining profits. The network's hashrate, a measure of its mining power, grew by about 5.89% during this period, indicating a larger and more powerful network. Miner revenue, despite the higher network difficulty remaining stable, rose by approximately 4.09%.
Individual company performance during this period is not extensively detailed in the available data. However, IREN rose 2.1% to $34.66, while Cipher Mining and Hut 8 set fresh 52-week highs. HIVE closed at $4.26 after an 11.8% gain. Bitfarms reached a market capitalization of $1.47 billion after a 17% jump to $2.61.
Other stocks like Bitdeer gained 0.7%, while TeraWulf and CleanSpark dipped slightly by 0.2% each. TeraWulf's dip may be attributed to its recent focus on high-performance computing, with a partnership with Google gaining momentum.
Iris Energy is ramping up its operations with Blackwell GPUs, while Hive Digital is accelerating its transition into AI data center infrastructure. The outperformance of mining stocks relative to Bitcoin itself suggests a growing recognition of these companies' strategic diversification efforts.
The combined market capitalization of 15 major Bitcoin mining firms has doubled from $21 billion to $47 billion, underscoring the sector's growth. The Bitcoin mining sector's current recovery is taking place during a period of mixed signals for the broader cryptocurrency market.
A notable trend emerging within the sector is the embrace of accumulation strategies, with miners holding onto more of their mined Bitcoin. Transaction fees have slipped under 0.8% of monthly Bitcoin rewards, indicating weaker onchain activity.
Glassnode data shows miner wallet balances rising for three consecutive weeks, with net inflows peaking at 573 BTC on September 9. This accumulation could be a positive sign for the long-term outlook of Bitcoin and the mining sector.
Despite the hashprice remaining below $55 per petahash per second, the sector appears to be on an upward trajectory. The Bitcoin network's hashrate recently reached the 1 zetahash milestone in September, a testament to the growing mining power and size of the network.
In this evolving landscape, the Bitcoin mining sector continues to show resilience and potential for growth, offering an interesting perspective for investors and cryptocurrency enthusiasts alike.
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