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Marathon Digital Rallies 10% After 816% Annual BTC Production Increase

Ollie Martin - AskTraders News writer
Ollie Martin trader
Updated 4 Feb 2022

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Key points:

  • Marathon Digital posts impressive January production, a day after rival Hut 8 Mining
  • The company mined a total of 462.1 self-mined bitcoins, up from just 50.4 last year
  • MARA stock rallied 10% on the news, and a 5% rise in Bitcoin price

A day after mining rival Hut 8 released production numbers, Marathon Digital’s January statistics are equally impressive. Currently, MARA stock is up just under 10% in the opening hours of Friday trading; with a 5% rise in Bitcoin also a possible catalyst for the stock’s rally. 

The cryptocurrency miner announced that its total production for January came in at 462.1 ‘self-mined’ bitcoins. Looking back, the company’s growth is remarkable. This time last year, Marathon had only 50.4 self-mined bitcoin – representing a nine-fold increase, or an 816% level of growth year-on-year.

The company’s total bitcoin holdings now stand at 8,595, which translates to a market value of around $330.6M. The company also announced that they haven’t sold any bitcoin since October 2020, and have since been accumulating all bitcoins mined. 

Read Also: Best Cryptos To Buy Right Now

This is just the start for Marathon Digital, as CEO Fred Thiel points out:

“We believe that miner deployments will accelerate during the first quarter and that that trend will continue into the second quarter and throughout the rest of the year”

Adding…

“Given our scale, our low-cost access to renewable power behind the meter, and our strong balance sheet, we believe Marathon is uniquely positioned within our industry today, and we look forward to scaling our mining operations to 199,000 miners and 23.3 Exahash over the coming quarters.”

CEO Fred Thiel isn’t wrong in his optimistic outlook. Marathon is incredibly well-positioned, with very few barriers to continued growth. The company is under the analyst radar for a number of firms and is set to make a serious splash in the cryptocurrency mining landscape. A 5% rise in Bitcoin price today could certainly have bolstered the stock price along with company news, but regardless, MARA stock still looks appealing at its current pricing.

Ollie Martin - AskTraders News writer
Oliver is a financial writer and analyst specialising in the US stock market, with years of personal experience in understanding micro/macroeconomic structures, market trends and fundamental analysis.