Some bitcoin miners won't survive when the upcoming halving slashes their revenue in half, but the ones that do survive will thrive, and Rosenblatt Securities says TeraWulf is its top pick in the category.
The firm initiated coverage of the bitcoin miner with a buy rating and $4.20 price target Tuesday.
Mining stocks like TeraWulf offer amplified exposure to the bitcoin price, with enhanced returns during bull cycles but increased volatility in bear markets.
TeraWulf's estimated cost to mine a bitcoin this year is about $25,000 ahead of the halving and $37,000 after.
Miners have been hard at work to enhance their fleet efficiency and lower their operating costs — largely power costs.
Persons:
WULF, Rosenblatt, Andrew Bond, Bond, Bitcoin, — CNBC's Michael Bloom
Organizations:
Rosenblatt Securities, Metrics
Locations:
Maryland, U.S