BTCM Stock Price Increases Over 15% Pre-Market: Why It Happened

By Amit Chowdhry ● Aug 9, 2021
  • The stock price of BIT Mining Ltd (NYSE: BTCM) increased by over 15% pre-market. This is why it happened.

The stock price of BIT Mining Ltd (NYSE: BTCM) – a leading cryptocurrency mining enterprise – increased by over 15% pre-market. There is not any company-specific reports driving the stock price up today so it appears there are external factors at play.

Investors in stock trading platforms are citing the momentum in cryptocurrencies as being the driving force for the stock price increase. The price of the Bitcoin cryptocurrency is up more than 9% over the past week. And Ethereum is up more than 12% over the past week. 

Late last month, BIT Mining announced it entered into a definitive purchase agreement to buy 2,500 new bitcoin mining machines for a total consideration of approximately US$6.6 million. And when deployed, the company expects the Acquired Machines to increase its theoretical maximum total hash rate capacity by about 165 peta hashes per second (PH/s). 

The acquired machines are expected to be delivered within one week from today. And following delivery, the company plans for them to be shipped to Kazakhstan for deployment.

Along with expanding its bitcoin mining machine fleet, the company has continued to move forward with its overseas development strategy, recent highlights of which include:

— 3,819 bitcoin mining machines with a total hash rate capacity of 172 PH/s have been deployed at data centers in Kazakhstan

— A further 4,033 bitcoin mining machines with a total hash rate capacity of 121 PH/s have been shipped to data centers in Kazakhstan and are awaiting deployment

— The company commenced ethereum mining operations outside of mainland China with hash rate capacity of 86.4 giga hashes per second (GH/s) deployed; an additional hash rate capacity of 4,713.6 GH/s is expected to be deployed by the end of October 2021.

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.