Cryptoverse: Bitcoin miners escape the bear trap

economictimes.indiatimes.com:

The power-hungry companies that pump new bitcoin into circulation have been thrown a lifeline by the cryptocurrency's rally to above $30,000 this year, which has conspired with falling electricity prices to boost their profitability. The 30-day average of mining revenues has risen to $27.34 million a day, the highest level since last June, according to data from Blockchain.com. That's a relief for miners that struggled to service large debt burdens as revenues languished between $15 million and $21 million for most of the second half of 2022. They're still some way off a peak of $61.2 million hit in November 2021, though.

Did you Know?

SAP has launched a new enterprise on the Metaverse with the aim of accelerating cloud adoption among Indian firms. The interactive and immersive ‘cloud on wheels’ platform will enable customers to experience the full range of SAP’s offerings and reimagine processes for improved business outcomes.

«Many public miners were on the brink of bankruptcy at the end of last year. At the current bitcoin price, these companies' cash flows have substantially improved and most of them should have no problem paying their obligations,» said Jaran Mellerud, analyst at bitcoin mining services company Luxor. Miners' debt-to-equity ratios now look much healthier, said Mellerud, adding that many companies had restructured and paid down debt over the past few months. Marathon Digital Holdings' debt-to-equity ratio has dropped to 0.5 from 2 since the start of this year, for example, while Greenidge Generation Holdings' has dropped to 5.8 from 11.7, according to data from Luxor. The spring thaw has seen investors flock back to publicly traded crypto mining companies; Among the biggest