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Trump's support for US miners sends Bitcoin miners soaring 10 percent

Former President Donald Trump reportedly told industry leaders that he had committed to supporting the Bitcoin mining sector if elected president in November

Shashank Bhardwaj
Published: Jun 13, 2024 04:28:05 PM IST
Updated: Jun 13, 2024 04:30:37 PM IST

Image: ShutterstockImage: Shutterstock
Bitcoin mining stocks experienced significant growth on Wednesday, following a statement from United States presidential candidate Donald Trump expressing his support for bolstering mining operations within the country. Trump emphasised his desire to make all remaining Bitcoin in the United States, citing the potential for the country to become "energy dominant." This announcement came after a meeting with top industry executives on June 12, 2024.

During his meeting with industry executives, Trump reassured the sector of his support if he gets elected as president in November. This promise resonated deeply with Bitcoin mining stock traders, who responded with a wave of optimism to the news, mirroring the positive sentiment of industry leaders and top Bitcoin miners.

TeraWulf (WULF) and Hut 8 Mining (HUT), two of the top 10 largest Bitcoin miners by market capitalisation, saw significant gains on June 12, with their stock prices increasing by 10.5 percent and 10.07 percent, respectively.

In addition to TeraWulf (WULF) and Hut 8 Mining (HUT), other notable Bitcoin mining stocks also saw significant gains on June 12. Core Scientific (CORZ), Iris Energy (IREN), and Cipher Mining (CIFR) rounded out the top five, with their stock prices increasing by 9.87 percent, 9.72 percent, and 8.94 percent, respectively.

Industry leaders CleanSpark (CLSK) and Riot Platforms (RIOT) also experienced a boost, with their stock prices rising by 8.15 percent and 6.5 percent, respectively. Meanwhile, Marathon Digital (MARA), the largest Bitcoin miner by market capitalisation, saw a more modest increase of 2.4 percent on the day.

On June 12, the Bitcoin mining industry saw a significant surge in stock prices, with the exception of China-based Canaan (CAN), which was the only top 20 miner by market capitalisation to experience a decline. The strong performance boosted the industry's overall market capitalisation to $26.4 billion.
This rally occurred despite Bitcoin's modest 1.4 percent increase to $68,365 over the last 24 hours.

CleanSpark and TeraWulf have been standout performers in 2024, with year-to-date gains of 58.55 percent and 66.96 percent, respectively. However, not all Bitcoin miners have been able to maintain their momentum. Marathon Digital has seen its share price decline by 11.43 percent this year, while Riot Platforms has experienced a more significant drop of nearly 31 percent.

On June 11, Donald Trump met with industry executives at his Mar-a-Lago resort to discuss the benefits of Bitcoin mining for the electrical grid and job creation. Attendees included CEOs and board directors who reported a positive experience with Trump.

In a notable contrast, President Joe Biden's re-election campaign has recently been engaging with members of the crypto market, signalling a potential shift in the administration's stance on digital asset policies. This development piques interest as it represents a significant departure from the Biden administration's previously less favourable view of the crypto market.

Shashank is the founder of yMedia. He ventured into crypto in 2013 and is an ETH maximalist.
Twitter: @bhardwajshash