Crypto miners rack up bitcoin as prices climb above $ 55,000

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With bitcoin rallying above $ 55,000 for the first time since May, cryptocurrency miners are holding onto their newly created currencies to strengthen their balance sheets.

Recent monthly production updates from crypto miners like Riot Blockchain and Marathon Digital Holdings show that they held onto their mined bitcoins in September, when prices hovered around $ 40,000.

Riot Blockhain, the Castle Rock, Colorado-based miner, said in a statement Wednesday as of September 30, he held 3,534 bitcoins, an increase of 406 bitcoins from August. The Riots share price rose 6.5% on Wednesday, before slashing gains to close the trading session up about 1%.

Read more: Crypto Miners Marathon Digital, Hut 8 Rally as Bitcoin exceeds $ 50,000

Meanwhile, Riots competitor Marathon Digital Holdings said on October 4 that it now has 7,035 bitcoins on its balance sheet, having produced 340.6 new bitcoins in September. He previously said the company held 6,695 bitcoin as of August. Marathons stock was up 4.8% on Wednesday.

Adding to the trend, on October 4, Canadian Hut 8 Mining Corp. also reported that all of its self-mined bitcoins have been deposited in custody, which is consistent with the company’s strategy to keep its digital currency mined. We are delighted with our current amount of bitcoin in reserve and to be ahead of our commitment to the market of having over 5,000 self-mined bitcoins by the end of the fourth quarter, said Jaime Leverton, CEO of Hut 8, in a press release. .

The strategy of retaining digital currency is that in a bull run, it is likely to help miners’ balance sheets and bolster bullish investor sentiment across the industry. Miners are already enjoying continued profitability as bitcoin prices have recovered from their recent decline and have climbed around 88% this year.

The Riots share price has climbed around 57% this year, while Marathon has jumped 254% and Hut 8 is up 232%.

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