Bitcoin mining stocks could see explosive growth in 2025, according to a report from HC Wainwright & Co.

Equity Research estimates that the market value of Bitcoin mining companies will exceed $100 billion in 2025, up from $36 billion in 2024 – an increase of almost 200%.

This increase is attributed to the ongoing improving economics of mining and Bitcoin (Bitcoin) bull market, according to analysts. The report points to key factors driving optimism, including the recent rise in Bitcoin prices and... Continuing success US Spot Bitcoin ETFs

These ETFs, It was approved earlier In 2024, it brought in $35.3 billion in net inflows and currently holds more than 1 million BTC, representing 5.5% of the circulating supply.

Bitcoin Mining It involves using specialized computers to validate transactions and secure the network. Miners are rewarded with newly minted bitcoins, but the process requires significant energy and operational costs.

According to the report, miners are currently profitable, with production costs well below Bitcoin's market price of around $96,000.

Bitcoin to $225,000?

The report expects Bitcoin to reach $225,000 by the end of 2025, supported by increasing institutional adoption. Regulatory clarity Under the new US administration, scarcity is increasing following the recent halving.

This price target includes a total market cap of $4.5 trillion for Bitcoin, or roughly 25% of the market cap of gold.

Large-scale miners with large Bitcoin reserves, referred to as the “Big Three” — Marathon Digital, CleanSpark, and Riot Platforms — are expected to outperform their competitors. These companies, which are highly sensitive to Bitcoin price movements, also have competitive valuations compared to AI-related miners.

The report notes that mining stocks could outpace Bitcoin price gains in 2025, providing opportunities for investors seeking exposure to the growing digital asset market.

Bitcoin miners embrace artificial intelligence

Bitcoin miners are also leveraging their expertise in energy and high-performance computing assets to meet growing demand for them Amnesty International Infrastructure.

The McKinsey report, cited by analysts, expects global data center demand to grow to 152 gigawatts by 2030, up from 57 gigawatts in 2023. Miners are well positioned to benefit due to large-scale, low-cost power capabilities.

Currently, miners operate 6.1 gigawatts of data center capacity, with an additional 4.6 gigawatts in development expected to be operational by 2025.

Seven miners in the sector are scheduled to deploy a total of 5 gigawatts of power for artificial intelligence and high-performance computing workloads by 2026, significantly reducing the typical four-year timeline for new projects.