Bernstein experts Gautam Chhugani and Mahika Sapra believe that we should not expect a significant drop in Bitcoin in the short term. The first cryptocurrency will remain in a limited range as funds invested in Bitcoin ETFs are redistributed to asset management platforms and other institutional funds.
Bernstein analysts noted that while the Bitcoin hashrate fell, the market share of public mining companies such as Marathon Digital, Riot Platforms and CleanSpark increased by 0.2%. This means that companies will continue to increase their presence through the purchase of equipment, given their significant Bitcoin balances and financial reserves:
“The temporary pause in Bitcoin price benefits incumbent miners with lower mining costs as hashrate remains capped and strong players can pursue their aggressive capex and M&A plans to increase market share.”
As a result of expanding activities, when the price of Bitcoin rises, large miners will be able to receive higher incomes by increasing BTC production, Bernstein experts believe.
Earlier, Bernstein suggested that Bitcoin’s growth cycle would allow the first cryptocurrency to reach a market value of $150,000 by the end of 2025.
Source: Bits
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