Analysis: The price of Bitcoin needs to exceed $98,000 before the next halving in order for listed mining companies to avoid losses

Odaily Planet Daily News According to a recent report by Seeking Alpha analysts, although Riot Platforms expects to triple its mining capacity by 2024, the company and Bitcoin miners in general may face serious headwinds from halving . The next time the BTC block reward is reduced by 50%, the main source of income for miners will be cut in half. The price of BTC needs to remain at least $98,000 before halving next year, so that publicly listed bitcoin mining companies may avoid losses. Miners like Riot can also issue new shares to fund their operations. But this dilutes the existing stock, meaning that even if the company's fundamental fundamentals hold up, the stock price may not keep up. While mining stocks will outperform Bitcoin in 2023, an increase in the amount of Bitcoin being sent to exchanges could signal a decline in momentum. Therefore, a sharp increase in the price of Bitcoin can ensure that miners remain profitable at today's level of computing power. (Cointelegraph)