Public Bitcoin Mining Industry Lost $14 Billion in 2022

The bitcoin price is now 70 percent below its all-time high. Consequently, miners continue to Qsuffer from a bear market. 

After nine months of harsh bear market conditions, public mining firms approach the fourth quarter of 2022 broken and bruised. According to statistics gathered by YCharts, the total market value of all U.S.-listed mining businesses decreased by more than $14 billion from the beginning of the year through the end of the third quarter.

Uncertainty surrounds whether the end of the year will provide relief for these corporations, as the headwinds from macroeconomic volatility seem persistent in the face of high inflation and central bankers anxious for rapid financial remedies. This article provides an analysis of the downward trend in the share prices of publicly traded mining firms as the fourth quarter of the year begins.

According to statistics from YCharts, Core Scientific, Marathon, Riot, TeraWulf, and Hut 8 are responsible for more than half of the total $14 billion wiped out from the market valuations of public mining businesses. The bar chart below illustrates the change in total market capitalization for each firm from the beginning of Q1 to the conclusion of Q3 of the current year.

The bitcoin price is now 70 percent below its all-time high. Consequently, miners continue to suffer from a bear market. But hope springs eternal. The market capitalization of publicly traded bitcoin mining businesses has decreased by $14 billion in 2018.

Compared to bitcoin itself, the losses of public mining businesses are negligible. According to statistics from TradingView, the overall market value of bitcoin decreased from $900 billion on January 1 to below $400 billion at the end of September.

These charts solely represent public mining businesses that trade on American marketplaces, namely the Nasdaq, one of the most liquid and frequently traded exchanges. However, other comparably prominent public firms in non-U.S. markets, such as Northern Data and Cathedra, have also experienced considerable losses.

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