As the #Bitcoin network's halving event approaches, scheduled for April 20th, which will halve the block rewards and the influx of new coins, shares of major mining companies are experiencing a sharp decline, according to #TradingView data.
Over the past five days, the stocks of Marathon Digital (MARA) and Riot Blockchain (RIOT) have dropped by 16% and 17% respectively. Similarly, shares of the Valkyrie Investment Company's WGMI ETF, which tracks mining stocks, have decreased by 11.2% over the same period.
The majority of miners' revenue comes from block rewards, with transaction fees making up a minor portion. In March, industry companies saw record monthly revenue exceeding $2 billion, coinciding with Bitcoin hitting an all-time high of over $73,500 mid-month.
Miners 🕵️ are banking on increased demand from new U.S. Bitcoin spot #ETFs✅ Currently, ETF issuers are buying an average of 2450 coins daily, while after the halving, the number of coins mined daily will decrease from 900 to 450. These factors combined could lead to a price increase due to high supply and low demand.