Crypto Miners’ Earnings Fiasco
Crypto mining companies IREN and CleanSpark’s stocks sharply declined on Thursday due to earnings reports that fell short of Wall Street expectations and Bitcoin’s (BTC) drop. BTC fell 12% in the last 24 hours, dropping to 60,000 dollars in early Friday hours, while the overall crypto market cap decreased by 9% according to CoinMarketCap data. Currently, BTC is at 65,222 dollars level, with a 24-hour change of -8.11%.
CleanSpark’s Net Loss and Halving Pressure
CleanSpark (CLSK) reported 181.20 million dollars in revenue for the quarter ending December 31, missing analyst estimates by 2.9%; the stock closed the day down 19.13% and fell another 8.6% after hours to 7.55 dollars, recording a net loss of 378.7 million dollars. The decline in mining efficiency after the April 2024 Bitcoin halving limited profits. Company CFO Gary Vecchiarelli stated that Bitcoin mining provides cash flow, and AI infrastructure monetizes long-term assets. Click for detailed CLSK analysis.
IREN and Sector-Wide Declines
IREN shares closed down 11.46%, falling another 18.5% after hours to 32.42 dollars; revenue of 184.69 million dollars missed expectations by 16.49%, with a net loss of 155.4 million dollars recorded. RIOT Platforms (RIOT) fell 14.71%, MARA Holding (MARA) 18.72%. BTC has declined 29% over the last 30 days, with the Crypto Fear & Greed Index dropping to 9/100.
Bitcoin Technical Data and MicroStrategy Warning
BTC fell below 70,000 dollars for the first time since November 6, 2024. RSI 18.78 (Oversold), downtrend, Supertrend bearish. Supports: 62,909$ (strong), 60,000$. Resistances: 65,881$, 100,640$. MicroStrategy CEO Phong stated that if BTC stays below its 76,000$ averages, contract issues could arise, and in the worst-case scenario, 8,000$ BTC would make debt repayment difficult. Check here for BTC futures. Detailed BTC analysis is recommended.
Source: https://en.coinotag.com/iren-and-cleanspark-shares-declined-with-btc-crash
