What to note:
- The investment team at Bernstein is expressing their admiration for Bitcoin’s performance during the ongoing tariff issues.
- As for Bitcoin miners, Bernstein has indicated that tariffs have adverse effects on U.S. supply chains, which could affect their network hashrate.
“Hi Curly, kill anyone today,” said Billy Crystal’s Mitch to Jack Palance’s Curly in City Slickers. “Day ain’t over yet,” replied Curly.
However, Bernstein believes the day may be better than expected, citing that Bitcoin’s (BTC) decline is merely 26% from its peak just three months ago, demonstrating resilience.
Recent crises, including the Covid-19 pandemic and shifts in interest rates, have previously caused Bitcoin to plummet by 50-70%, according to the report.
The analysts, led by Gautam Chhugani, noted, “The price actions indicate the presence of more resilient capital.”
“The narrative of Bitcoin as digital gold has gained traction due to increasing institutional engagement—reflected through flows from ETFs and corporate treasuries,” they added.
Nonetheless, miners are facing challenges as tariffs negatively impact their operational supply chains. Bernstein elaborated by explaining that a miner’s hashrate—the collective computational power for mining and transaction processing on a blockchain—serves as a competitive benchmark.
Notably, major miners like Riot Platforms (RIOT), IREN (IREN), MARA Holdings (MARA), and CleanSpark (CLSK) could seize a larger market share due to their expansion capabilities and AI technologies.
