Bitcoin

Bitcoin Miner Core Scientific Shares Soar on AI Expansion Plans

Published

7 months ago

13 June, 2024

Bitcoin Miner Core Scientific Shares Soar on AI Expansion Plans

Mining units at a bitcoin mining facility in Texas. Photographer: Jordan Vonderhaar/Bloomberg

Artificial intelligence (AI) is hungry for computing power, and bitcoin miners are willing to repurpose your infrastructure can profit handsomely.

Core Scientific, one of the largest publicly traded bitcoin miners, emerged from bankruptcy in January and spent June with its shares soaring, more than doubling to $9.57 per share, with a 10% increase on Wednesday. fair, announcing an increase in computing capacity. for high-performance computing (HPC) that underpins AI operations.

Core revealed new details about the 300 megawatts of HPC infrastructure available at an investor day event that will be in addition to the 200 megawatts committed under a recent deal with AI hyperscaler CoreWeave. This deal could generate $3.5 billion in revenue over the life of a 12-year contract, which has two five-year extension options, with annualized profit margins in the 75-80% range, according to CEO Adam Sullivan.

“Considering the additional 300 megawatts of HPC infrastructure, the full 500 megawatts could generate more than $8 billion in revenue over a 12-year period,” said CEO Adam Sullivan. “We are building a very application-specific digital infrastructure. It is very difficult to find scale in this sector. It’s even harder to find scale for the newest generation of graphics processing units (GPUs), so the target customer base is people who are building not only some of the biggest AI models, but also other applications that require the arrival of newest generation of GPUs on the market. ”

Following this announcement, the company’s shares rose almost 10% to $9.57.

The CoreWeave deal highlights the growing power demands of AI vendors. “Think about the immense demand for high-performance computing and the limited power available that can be deployed quickly,” Kevin Dede, an analyst at HC Wainwright, told Forbes. “The Core has 1.2 gigawatts of power, much of which is already built and some of which can be converted to handle HPC loads. For AI companies, getting processors up and running quickly can make all the difference. Helping to develop infrastructure can ease the financial burden while speeding up the process.”

Sullivan said at Wednesday’s event that more than 50 companies initially vied for CoreWeave’s spot. CoreWeave likes Core Scientific’s prospects so much that it offered to buy the entire company on June 3 for $5.75 per share, or about $1 billion, an offer rejected three days later as “significantly undervaluing” the goal.

Yesterday, Compass Point analyst Joe Flynn issued a Buy rating on Core Scientific shares with a price target of $12.50. “Overall, we believe the stock is currently in the process of being revalued and see continued upside potential from additional HPC announcements (500MW total potential target price of $17.50) and view CORZ as a potential target of withdrawal given that CoreWeave recently offered $5.75/share (an offer that was recently rejected by the board of directors for undervaluing the company) and the power needs/constraints of AI computers,” Flynn wrote.

Core Scientific managed to emerge from bankruptcy after a recovery in cryptocurrency prices allowed it to cut $400 million in debt, giving creditors an equity stake in the reorganized company. The company’s performance largely depends on its ability to deliver infrastructure in a timely manner, but for now, its projects are coming online faster than anticipated, BTIG analysts wrote in a research note to customers in May.

“We really think of Core Scientific’s investment thesis as a unique opportunity driven by digital infrastructure in the space that is benefiting from the expansion of AI computing that we are seeing today,” Sullivan said on Wednesday. “We are looking to build a much more balanced business that offers strong, high visibility of recurring revenue with exposure not just to bitcoin mining but also the upside potential of AI.”

Fuente

Related Topics:AI Bitcoin Bitcoin mining CoreWeave CORZ GPU Scientific Center

Up Next

Bitcoin Rises as Cooler Inflation Revives Rate Cut Hopes

Don't Miss

stable at US$67,000 amid signs of interest rate cuts and lower inflation By Investing.com

SatoshiTimes Staff

We are the editorial team of SatoshiTimes, where seriousness meets clarity in cryptocurrency analysis. With a robust team of finance and blockchain technology experts, we are dedicated to meticulously exploring complex crypto markets with detailed assessments and an unbiased approach. Our mission is to democratize access to knowledge of emerging financial technologies, ensuring they are understandable and accessible to all. In every article on SatoshiTimes, we strive to provide content that not only educates, but also empowers our readers, facilitating their integration into the financial digital age.

Click to comment

Bitcoin

What to watch for in the markets

Published

6 months ago

21 July, 2024

SatoshiTimes Staff

Photo: Andrew Harnik (Getty Images)

After witnessing one of the largest global IT outages on record, affecting the travel, finance and healthcare sectors worldwideThis week is set to see more political drama, events, and earnings reports from tech giants.

Donald Trump’s ‘Lovefest’ Sets Jamie Dimon Up for Consideration for Treasury Secretary Job

Let’s take a look at what awaits us:

Major companies will release their earnings reports

Major tech companies and others will release their earnings reports this week, paving the way for what the second half of 2024 will look like.

Monday

Verizon will report earnings before the start of operations.

Tuesday

Coca-Cola, Comcast and UPS are all set to report earnings before the market opens.
Tesla will report earnings in the morning, while General Motors will report earnings in the evening.
Alphabet and Visa will report results after the market closes.

Wednesday

AT&T will release its report before the market opens.
Ford and Chipotle will report earnings after the market closes.

Thursday

Earnings reports from AstraZeneca, American Airlines and Southwest Airlines will be released before the market opens.

Trump to speak at Bitcoin conference

Presumptive Republican presidential nominee Donald Trump will speak at the next Bitcoin Conference in Nashville, Tennesseewhich is scheduled for July 25-27. While this is the first time a presidential candidate will attend the conference, it has sparked a debate over whether the crypto-friendly Trump will receive support from the crypto community in the upcoming election.

In addition to Trump, independent presidential candidate Robert F. Kennedy Jr. will also discuss crypto during the conference. Crypto advocates such as ARK Investment’s Cathie Wood, MicroStrategy’s Michael Saylor, and whistleblower Edward Snowden are among some prominent names who will be participating in the conference.

Ether ETFs are on the way

New Ether Spot ETFs are set to begin trading on Tuesday, July 23. Much like the spot Bitcoin ETFs, these ETFs will allow investors to buy the second most popular cryptocurrency like stocks. BlackRock, Ark Invest/21Shares, VanEck, Grayscale, Fidelity, Bitwise, Franklin Templeton, and Invesco/Galaxy Digital are all set to offer Ether ETFs. Crypto asset manager Bitwise predict that trading in the Ether ETF will drive the price of Ether higher, potentially surpassing $5,000.

Fuente

Bitcoin

Cryptocurrency’s Biggest Winners and Losers in a Second Trump Presidency

Published

6 months ago

21 July, 2024

SatoshiTimes Staff

Cryptocurrency’s Biggest Winners and Losers in a Second Trump Presidency

Bitcoin miners and cryptocurrency companies that have been blocked from going public in the U.S. could ultimately be the biggest winners in the digital asset world under a second Donald Trump presidency. Foreign companies at risk of losing market share could end up being the biggest losers.

That’s the view that’s taking hold among market participants and observers in the wake of the former president’s growing embrace of cryptocurrency as his chances of election grow. survey released Thursday by CBS News showed Trump with the majority — 52 percent — of likely voters in his likely November rematch with President Joe Biden.

Fuente

Bitcoin

Bitcoin, Ethereum, Solana and Cryptocurrency Markets Look Ready to ‘Send’ as Stars Align, According to Investor Chris Burniske

Published

6 months ago

21 July, 2024

SatoshiTimes Staff

Bitcoin, Ethereum, Solana and Cryptocurrency Markets Look Ready to ‘Send’ as Stars Align, According to Investor Chris Burniske

Cryptocurrency investor Chris Burniske says Bitcoin (BTC), Ethereum (ETH), Solana (SUN) and the cryptocurrency market in general seem poised for a run.

Former Head of Cryptocurrency at ARK Invest account his 292,200 followers on social media platform X that several catalysts are aligning, suggesting that digital asset markets are on the verge of a bull run.

According to Burniske, a partner at venture capital firm Placeholder, the highly anticipated launch of Ethereum-based exchange-traded funds (ETFs), Republican presidential candidate Donald Trump speaking at an upcoming Bitcoin event, and the current state of the BTC, ETH, and SOL charts all suggest significant optimism for the cryptocurrency markets.

“With ETH ETFs set to go live, Trump speaking at The Bitcoin Conference, and BTC, ETH, and SOL charts looking [they do] (while stocks are weak), it’s hard to imagine a world where we don’t ship next week.”

Reuters recently reported that preliminary approval for ETH ETFs has been granted as the Bitcoin Conference is scheduled to take place from July 25-27.

BTC, ETH, and SOL are trading at $67,333, $3,528, and $174 at the time of writing, respectively.

The venture capitalist too provides an update on his prediction that the total crypto market cap will eventually hit $10 trillion. According to his chart, the path to $10 trillion is currently “23%” complete, as it sits around $2.2 trillion.

Source: Chris BurniskeX

Earlier this month, Burniske he said in an interview with Real Vision CEO Raoul Paul that he has his eye on the Move ecosystem, which was originally built by social media giant Meta and then used to develop layer 1 blockchains Sui (IUE) and Apts (APT).

Don’t miss a beat – Subscribe to receive email alerts directly to your inbox

To check Price action

Surf Hodl’s Daily Mix

&nbsp

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be aware that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Image generated: DALLE3

Fuente

Bitcoin

Here’s the next target for BTC before bulls can hold out for $70K

Published

6 months ago

21 July, 2024

SatoshiTimes Staff

Here’s the next target for BTC before bulls can hold out for $70K

Bitcoin’s recovery is going well, and the market is seemingly poised to create a new all-time high in the near term.

Technical analysis

Per NegotiationRage

The daily chart

As the daily chart shows, the price of Bitcoin has been rising since it broke above the 200-day moving average.

The market has also reclaimed the $60K and $65K levels and is moving towards the $68K resistance zone, which could be the last hurdle before creating a new all-time high. With the RSI also indicating that the price has clear bullish momentum, it could be just a matter of time.

Source: TradingView

The 4-hour chart

Looking at the 4-hour chart, it is evident that the price has been rising rapidly since breaking the downtrend line to the upside. The market also broke the $65K resistance level with momentum, turning it into a support.

While almost everything points to a new record high in the coming weeks, there is one worrying sign. The RSI is showing a clear bearish divergence between recent price highs, which could indicate a correction or even a reversal in the near term.

Source: TradingView SPECIAL OFFER (Sponsored)
Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive an exclusive $600 welcome offer on Binance (Full details).

LIMITED OFFER 2024 on BYDFi Exchange: Welcome Reward Up to $2,888, use this link to register and open a 100 USDT-M position for free!

Disclaimer: The information found on CryptoPotato is that of the writers quoted. It does not represent the opinions of CryptoPotato about buying, selling, or holding any investments. It is advised that you conduct your own research before making any investment decisions. Use the information provided at your own risk. See Disclaimer for more information.

Cryptocurrency Charts by TradingView.

Fuente