- Bitcoin miners are facing a difficult February.
- Recently, the SEC took a strong stance against crypto.
- H.C. Wainwright analyst still rates four BTC miners at “buy”.
Although Bitcoin miners had a great January, February has been proving more difficult for them.
Last week, BTC miners suffered a huge setback
H.C. Wainwright’s 11 miners collectively produced 5,279 bitcoin last month and sold 4,278. Their collective operating hash rate gain was 7.7%.
However, in February, the U.S. Securities and Exchange Commission became more aggressive against crypto companies. It was last week. ordered Kraken to end its crypto-staking services in America
In the week ended February 12, bitcoin prices dropped 5.2%. But miners lost a significantly bigger 17.1% (median) even though the network hash rate climbed to 292 EH/s – a 9.5% week-over-week increase.
Miners that’re still worth buying
The U.S. regulator was also in place about a day after Kraken. demanded Paxos ceases to mint new BUSD (Binance Dollar).
Nonetheless, Mike Colonnese – an H.C. Wainwright analyst is convinced that such news don’t have a meaningful effect on miners other than the short-term price pressure. In a recent research note, he said:
It is possible that U.S. regulators have recently enforced crypto legislation and created uncertainty about the U.S. sector. This could lead to innovation and retail investors seeking out the U.S. sector.
Ones that Colonnese still rates a “buy” include Riot Blockchain, Cleanspark, Cipher Mining, and Hive Blockchain Technologies.