MARA - HIVE Digital: Resilient Miner But Expect Short-Term Volatility (Rating Downgrade)
2024-07-18 09:10:47 ET
Summary
- HIVE Digital Technologies' share price surged to $5.8 following the approval of spot Bitcoin ETF, but since then the price has retrenched to around $4.
- Despite the Bitcoin halving event, HIVE's mining operations remain resilient with a focus on efficiency and cost reduction.
- Mining difficulty has come down but should come down further to create an upside in digital asset prices.
- There are also election-related risks on the horizon that could induce volatility to the stock, explaining my Hold position.
- Still, opportunities for growth in the HPC (high-performance computing) sector, potential revenue increase, and long-term potential for investors.
Since I last covered Hive Digital Technologies ( HIVE ) in my bullish piece in December last year, its share price surged by 17% to $5.8 in a market frenzy following regulators approving several Bitcoin ( BTC-USD ). After several ups and downs, it now trades around $4 as charted below....
HIVE Digital: Resilient Miner, But Expect Short-Term Volatility (Rating Downgrade)