Bitcoin miners pivot to AI, but may be overvalued: JPMorgan
NeutralCryptocurrency
- JPMorgan has upgraded its outlook on Bitcoin miners Cipher and CleanSpark while cutting targets for Marathon Digital (MARA) and Riot Blockchain (RIOT), citing increased risks of shareholder dilution. This shift reflects a growing trend among Bitcoin miners to diversify into high-performance computing (HPC) to meet the rising demand for AI compute resources.
- The upgrades for Cipher and CleanSpark suggest a positive recognition of their strategic pivot towards HPC, which may enhance their operational resilience and market positioning amid fluctuating cryptocurrency valuations.
- This development occurs against a backdrop of heightened scrutiny on JPMorgan's actions within the cryptocurrency sector, including backlash from Bitcoin supporters over account closures and warnings about potential financial repercussions for companies linked to Bitcoin, indicating a complex relationship between traditional finance and the evolving crypto landscape.
— via World Pulse Now AI Editorial System
