Crypto Market Shudders: Bitcoin Tumbles, Kraken in Legal Spat, Miners Forge On: Bitcoin dips below $61,000, dragging down the entire crypto market.
Here’s what’s happening, plus why one crypto miner is expanding despite the pullback.
Major cryptocurrencies including Bitcoin and Ether are facing another week of decline. Bitcoin is trading below $61,000 and Ether is below $3,000.
Kraken Battles SEC Lawsuit Over Crypto Offerings
In a separate development, Kraken is battling a lawsuit from the SEC. Kraken argues that the SEC failed to prove that the transactions on Kraken’s platform were investment contracts.
Mixed Earnings Reports for Crypto Miners
Marathon Digital, a crypto miner, reported record revenue but its share price dropped nearly 10% after the earnings release. This is despite a 184% year-over-year jump in net income to $337 million. The spike is mostly due to a change in accounting standards.
On the other hand, CleanSpark, another publicly traded mining company, is expanding its operations. The company acquired two mining sites in Wyoming for $19 million. These facilities will add 75 megawatts of available power to Clean Spark’s 400 megawatt currently under management.
CleanSpark CEO Bullish on Future Despite Bitcoin Pullback
CleanSpark CEO Zachary Bradford spoke about the acquisition and the company’s future plans in an interview. He said that the company is attracted by Wyoming’s political welcomingness towards cryptocurrencies and the state’s cooler climate which is ideal for data centers. Bradford also mentioned that the company is well positioned for the future despite the recent pullback in Bitcoin price.
