Crypto Currents: Analyst sees bitcoin on path to $200K

As bitcoin, ethereum and other cryptocurrencies get increasing attention from investors, Wall Street and its traditional banks continue to adjust to the shift. Catch up on this week’s top stories highlighting the intersection of these old guard and new school areas of finance with this recap compiled by The Fly.

BERSTEIN SEES BITCOIN ON PATH TO $200K: On Tuesday, Bernstein said (MSTR) will “continue to pioneer the space.” Bitcoin miners will continue to shift capacity to artificial intelligence for value creation and there will be more activist investor action in bitcoin miners in 2025, the analyst said. Bernstein thinks the SEC will withdraw or settle its cases against leading crypto companies and protocols this year. The firm recommended MicroStrategy, CleanSpark (CLSK), Core Scientific (CORZ), IREN (IREN), Riot Platforms (RIOT), and Robinhood (HOOD) as ways to gain bitcoin exposure.

CLEANSPARK REPORTS OVER 10K BITCOIN HELD: CleanSpark announced Thursday it has achieved over 10,000 bitcoin in its treasury, all self-mined exclusively from its U.S.-based mining operations. The milestone also highlights a 236% year-over-year increase in CleanSpark’s bitcoin-denominated treasury.

“Surpassing the 10,000-bitcoin mark reflects CleanSpark’s commitment to operational excellence, strategic growth, and disciplined capital management,” said Zach Bradford, CEO. “This accomplishment is a direct result of our unwavering focus on scaling efficiently and responsibly. Every bitcoin in our treasury has been mined in the United States, supported by American energy and jobs—underscoring our dedication to sustainable growth and innovation in the global bitcoin ecosystem.”

HUT 8 RECEIVES APPROVAL FOR DATA CENTER PROJECT: Cantor Fitzgerald said Tuesday it listened to the West Feliciana Parish Government Planning and Zoning Department meeting regarding the newly announced Hut 8 (HUT) tier three data center project. The parish unanimously approved the project proposal, the analyst said. The firm added the big takeaway is that Hut 8 has received approval to build a 300 MW data center and it appears that it is in “very late stage discussions” with a hyperscaler. With the company receiving approval, Cantor expects the shares to react positively. It kept an Overweight rating on Hut 8 with a $35 price target.

Additionally, Benchmark noted the vote to approve Hut 8’s building permit, which the analyst called a “significant step” in the company’s plan to build the first phase of a 300 MW data center complex that it would lease to an unnamed artificial intelligence hyperscaler. Following the step closer to the “game-changing” complex, the firm reiterated its Buy rating and $41 price target on Hut 8 shares.

COINBASE PRICE TARGET RAISE: On Tuesday, Piper Sandler raised the firm’s price target on Coinbase (COIN) to $285 from $245 and kept a Neutral rating on the shares as part of an earnings preview note for earnings, trading companies and ebrokers. The U.S. Presidential election and ensuing risk-on trading environment produced record derivative volumes and the strongest quarter for cash equities since the meme stock impacted 1Q21, the analyst said. The firm sees a more relaxed regulatory outlook for 2025, as well as lower rates, and a further emboldening of retail traders as key themes.

CANAAN SECURES A15XP ORDER: Canaan (CAN) announced Monday that Canaan U.S. has entered into a purchase agreement with a new United States customer for its Avalon A15XP miners. According to the purchase agreement, Canaan U.S. will provide the customer with 2800 air-cooled Avalon A15XP miners that will be added to its large mining fleet.  The miners, with a hash performance of 207 Terahash per second, are scheduled to be delivered in 1Q25. 

“Adding another well-respected, vertically integrated Bitcoin firm to our customer base demonstrates our commitment to developing world-class bitcoin mining machines and the success that our sales team is having in North American market,” said Nangeng Zhang, chairman and CEO. “We are excited to support our new client in advancing its bitcoin strategies.”

Canaan also announced Thursday the launch of the Avalon Mini 3 and Nano 3S in Las Vegas, CES. The two bitcoin mining devices are designed to democratize cryptocurrency mining for individuals and turning a home heating system into a crypto mining device. During the preorder period till the end of February 2025, the price for Avalon Nano 3S is $249 and Avalon Mini 3 is $899 while supplies last.

The company said, “The Avalon Mini 3, with a hashrate of 37.5Th/s, offers a unique dual-purpose solution, combining efficient mitcoin mining with home heating. The app-controlled operation and sleek, quiet design, provides a remarkably easy-to-use, energy-efficient solution for mining newcomers and enthusiasts. The Avalon Nano 3S, which is upgraded from the widely-welcomed Avalon Nano 3, with a hashrate of 6Th/s, complements this offering as an affordable, beginner-friendly bitcoin mining device. Its compact and portable design alongside its low power consumption makes it ideal for individual users while supporting the broader goal of bitcoin network decentralization.”

CRYPTO STOCK PLAYS: Publicly traded companies in the space include Bit Digital (BTBT), Coinbase, Core Scientific, Greenidge Generation (GREE), Mara Holdings (MARA), MicroStrategy, Riot Platforms, Stronghold Digital Mining (SDIG) and TeraWulf (WULF).

PRICE ACTION: As of time of writing, bitcoin dropped about 5% this week to $93.364 in U.S. dollars, according to CoinDesk.