Market Overview - Bitcoin mining equities experienced a downward trend as the price of bitcoin struggled for momentum following a monthly decline [1] - Major operators such as Marathon, CleanSpark, and Riot reported losses despite infrastructure and financing updates in the sector [1] Bitcoin Price Movement - As of the latest update, bitcoin is priced at $88,900, reflecting a 1.5% increase on the day and a 1.3% increase week-over-week, but still down 2.8% month-over-month [2] - The stagnation in bitcoin's price is impacting mining stocks as investors react to new developments [2] Company Performance - Marathon (NASDAQ: MARA) shares fell 0.21% week-over-week [2] - CleanSpark (NASDAQ: CLSK) dropped 1.79% over the same period [2] - Riot (NASDAQ: RIOT) declined by 1.23% week-over-week [5] - Cipher (NASDAQ: CIFR) saw a 2.90% decrease week-over-week despite expanding its development pipeline with a new site in Ohio [3] - TeraWulf (NASDAQ: WULF) shares slid 3.79% after finalizing a $1.3 billion debt financing agreement for a joint venture in Texas [4] - Hut 8 (NASDAQ: HUT) dropped 3.08% week-over-week, entering a hosting agreement expected to generate $7 billion in revenue over 15 years [6] - Core Scientific (NASDAQ: CORZ) declined 2.42% week-over-week, with Two Seas Capital increasing its ownership stake following a failed acquisition [7] Development and Financing Updates - Cipher's acquisition of a new site in Ohio aims to provide 200 megawatts of capacity, increasing its total development pipeline to 3.4 gigawatts across eight sites [3] - TeraWulf's $1.3 billion debt financing is designated for constructing high-performance computing infrastructure in Texas [4] - Hut 8's partnership with Fluidstack is projected to significantly boost revenue over a long-term contract [6] - Analysts at J.P. Morgan forecast a 45% upside for Riot's stock through 2026, anticipating a significant colocation deal [5]

Core Viewpoint - Defiance ETFs has launched the Defiance Daily Target 2X Long BITF ETF (BTFL), aimed at active traders seeking amplified exposure to Bitfarms Ltd. (BITF) [1][2] Group 1: Fund Overview - The BTFL ETF is designed to provide 200% of the daily percentage change in the share price of Bitfarms Ltd., allowing investors to express short-term bullish views on the stock [2][3] - The fund is not a direct investment in Bitfarms Ltd. but offers a leveraged exposure through financial instruments [5] Group 2: Underlying Company - Bitfarms Ltd. is a global energy and computer infrastructure company based in Toronto, Canada, focusing on bitcoin mining through energy-efficient data centers [4] - The company operates server farms that validate transactions on the Bitcoin blockchain, emphasizing vertically integrated operations [4] Group 3: Investment Strategy - The fund seeks to achieve its investment objective on a daily basis, meaning it is designed for short-term use and may not perform as expected over longer periods due to compounding effects [3][6] - The fund's strategy involves entering into swap contracts and options contracts based on the share price of Bitfarms Ltd., exposing it to similar risks as owning the underlying security [9][10]

Core Insights - MARA Holdings is recognized as a significant player in Bitcoin mining, holding approximately 53,000 Bitcoins, which positions it as the second largest holder globally [1] Company Overview - The company is primarily associated with Bitcoin mining activities, distinguishing itself from traditional cryptocurrency investments [1]

Group 1 - Terawulf Inc. (NASDAQ:WULF) is recognized as a top bitcoin mining stock, with a Buy rating from Rosenblatt Securities analyst Chris Brendler, who has set a target price of $20, indicating a potential upside of over 62% [1] - As of December 24, the stock has yielded nearly 118% in 2025, with all 10 analysts covering the stock assigning Buy ratings and a 1-year average price target of $21.73, suggesting an upside potential of 76.5% [2] - The company announced a significant update regarding its financial and strategic position, revealing that Flash Compute LLC issued $1.3 billion in senior secured notes to support its infrastructure operations, with a maturity in 2030 and an interest rate of 7.25% [3] Group 2 - Terawulf Inc. operates in the digital asset technology sector, focusing on bitcoin mining and high-performance computing, with a commitment to sustainability through energy-efficient data centers powered by 90% zero-carbon energy [4]

Group 1 - Riot Platforms Inc. (NASDAQ:RIOT) is recognized as one of the best bitcoin mining stocks to buy, with a significant increase of over 36% in 2025 despite a major dip since late October [1] - The broader analyst coverage estimates a 95% upside for Riot Platforms from the current level, with a consensus 1-year median price target of $27.19, supported by 16 analysts giving 100% Buy ratings as of December 24 [1] - Citi analyst Peter Christiansen has reiterated a Buy rating for Riot Platforms, lowering his price target from $28 to $23, indicating an upside potential of more than 65% [2] Group 2 - Christiansen maintains a positive sector outlook for the coming year, suggesting that legislative reforms related to AI infrastructure data centers will act as a major catalyst for Riot Platforms [3] - Riot Platforms operates large-scale digital infrastructure and data centers, focusing primarily on bitcoin mining, and employs a vertically integrated strategy to meet the growing demand for high-density computing [4]

Group 1 - Core Scientific Inc. (NASDAQ:CORZ) is viewed positively by hedge funds, with 12 out of 13 analysts rating it as a Buy and 1 as a Hold, indicating a bullish market sentiment [1] - The median 1-year price target for Core Scientific is projected at $28.27, suggesting a potential upside of 81.6% from current levels [1] - Analyst Gregory Miller upgraded Core Scientific's rating to Buy with a target price of $30, indicating an upside potential of approximately 93% [2] Group 2 - Core Scientific is transitioning towards AI-enabled data centers to diversify income streams amid the volatility of crypto markets, seeking partnerships with large AI businesses for quicker access to data centers [3] - The company utilizes high-density computing solutions for large-scale bitcoin mining and offers hosting services for third-party clients, while focusing on AI-based revenue streams through competitive pricing [4]

Group 1 - Cipher Mining Inc. is experiencing significant analyst attention, with price target adjustments reflecting market conditions and company performance [1][2] - The company has shifted focus from traditional Bitcoin mining to high-performance computing (HPC) and AI infrastructure, which has led to a substantial revenue increase [3] - In Q3 2025, Cipher Mining reported a 65% quarter-over-quarter revenue surge to $72 million, driven by Bitcoin mining and facility expansion [3] Group 2 - Rosenblatt has lowered its price target for Cipher Mining to $25 from $33 while maintaining a Buy rating, indicating cautious optimism amid challenging market conditions for Bitcoin miners [1] - JPMorgan upgraded Cipher Mining to Overweight with a new price target of $18, citing the company's strong position to secure further HPC contracts as a growth catalyst [2] - The company’s financial position improved significantly due to a $1.3 billion convertible note offering, increasing cash and equivalents to approximately $1.2 billion [3]

Core Viewpoint - Canaan Inc. (NASDAQ:CAN) is identified as a promising investment opportunity with a significant upside potential, supported by analyst ratings and strategic business developments [1][2]. Group 1: Analyst Ratings and Price Target - As of December 24, 86% of analysts covering Canaan Inc. have a consensus 'Buy' rating, with a median one-year price target of $3, indicating an upside potential of 281.19% [1]. - BTIG initiated coverage on Canaan Inc. on December 8 with a 'Buy' rating and a price target of $3, translating to an upside potential of over 280% [2]. Group 2: Business Model and Operations - Canaan Inc. employs a vertically integrated strategy focusing on BTC self-mining expansion, increasing rig-manufacturing market share, and enhancing power-infrastructure access [3]. - The company operates a dual business model, providing mining equipment to third-party operators while also managing its own mining fleet [3]. Group 3: Production and Market Expansion - In Q3 2025, Canaan Inc. expanded its manufacturing capabilities by establishing a Bitcoin rig production facility in California, enhancing its production capabilities beyond initial markets [4]. - The company holds approximately 1,600 BTC and 4,000 Ethereum, with a near-term strategy focused on expanding Bitcoin self-mining capacity and growing its share in rig manufacturing [4]. Group 4: Company Overview - Canaan Inc. is a Singapore-based company involved in bitcoin mining machine sales, self-mining operations, and consumer mining products, incorporated in 2013 [5].

Core Insights - Bitmain is aggressively cutting prices on various generations of Bitcoin mining hardware to address pressures in the mining sector [1][3][9] Pricing Strategies - Discounts are being offered on both older and newer models, indicating a strategy to clear inventory amid strained mining economics [3][9] - Specific promotions include a bundle deal for four S19 XP+ Hydro units at an effective price of approximately $4 per terahash, with shipments starting in January 2026 [4][9] - An auction for the S19k Pro model began with a starting bid of $5.5 per terahash, with final prices determined post-bidding, and deliveries expected in December 2025 [5] Internal Pricing and Discounts - Internal price lists reveal that as of December 22, prices for S19e XP Hydro and 3U S19 XP Hydro units were as low as $3 per terahash, while S19 XP+ Hydro machines were around $4 per terahash [6][9] - Newer models like S21 Immersion miners were priced at approximately $7 per terahash, and S21+ Hydro machines near $8 per terahash before applying coupons [7] Bundled Sales and Hosting Services - Bitmain is combining hardware discounts with hosting services to stimulate demand and facilitate equipment sales [9] - Hosting rates range from 5.5 to 7 cents per kilowatt-hour across various jurisdictions, including the United States and several countries in South America and Africa [8]

Company Overview - Riot Platforms, Inc. is a leading U.S.-based Bitcoin mining company with a diversified business model that includes cryptocurrency mining and specialized engineering services [5] - The company operates large-scale Bitcoin mining facilities and provides engineering services, generating revenue primarily from Bitcoin mining operations and from designing, manufacturing, and installing electrical infrastructure for commercial and governmental clients [8] - As of the latest report, Riot's market capitalization is $5 billion, with a revenue of $637.16 million and a net income of $164 million for the trailing twelve months (TTM) [4] Recent Performance - Riot Platforms reported a record quarter, achieving $180.2 million in revenue and $104.5 million in net income, with nearly $200 million in adjusted EBITDA, driven by higher Bitcoin prices and expanding infrastructure operations [6] - The company's shares were priced at $13.44, reflecting a 16% increase over the past year, which is comparable to the S&P 500's approximately 15% gain during the same period [3] Investment Activity - 13D Management LLC fully liquidated its position in Riot Platforms, selling all 453,272 shares valued at approximately $5.12 million, which previously represented 4.7% of the fund's 13F reportable assets [2][6] - The decision to exit the position may reflect a shift in the stock's risk profile, as mining economics tighten and competition increases, leading to a strategy more focused on capital-intensive data center development [9] Market Context - The stock's performance has been strong, with shares up nearly 90% year-to-date through the last quarter, prompting some investors to lock in gains [9][10] - Riot's current valuation suggests that shares are neither significantly undervalued nor overvalued, aligning closely with market performance [10]