Bitcoin miner prices have fallen since last Thursday, following the launch of Bitcoin exchange-traded funds. However, for some mining stocks, any weakness in the coming weeks represents an opportunity, according to Bernstein. The declines are due in part to a decline in the price of Bitcoin, which fell approximately 6% in the same period. In a Monday note to investors, Bernstein also noted a decline in investor appetite for mining stocks as an alternative to Bitcoin now that ETFs have entered the market. However, Gautam Chogani, senior cryptocurrency analyst at Bernstein, said the company remains optimistic about high-quality miners, pointing to Riot Platforms and CleanSpark. “We feel confident about the cash flow reversal for best-in-class miners that are consolidating capacity and seeing strong revenue traction from rising bitcoin prices and transaction fees,” he said. “Miners will therefore continue to offer higher beta trading for the next Bitcoin release – in our view, after the halving.” Year-to-date, RIOT shares are down 25% this year. Marathon Digital is down nearly 30%. Iris Energy and Cipher Mining both fell more than 21%. The Bitcoin halving — the event in which the cryptocurrency’s mining reward is cut in half — is approaching this spring. The halving also impacts Bitcoin miners’ revenues. Investors have been watching the price of Bitcoin, which some had expected to rise following the SEC’s decision to allow Bitcoin ETFs in the US, but instead played out as a selling news event. If the price of Bitcoin does not rise to the $50,000 to $55,000 range, less efficient and higher cost miners may not have enough capital to grow and may have difficulty maintaining their operations. “Just like Bitcoin, the next two months will provide a buy-low opportunity for Bitcoin miners,” Chogani said. “To be cautious during the halving, some high-cost miners may struggle if the Bitcoin price remains flat from here – hence, better exposure to low-cost miners.” Bitcoin miners were the best performers in 2023, outperforming even Bitcoin. Riot and CleanSpark received 356% and 440%, respectively. Marathon inflation increased by 586%. The leading cryptocurrency Bitcoin is up 157%.