Crypto: Bitcoin Miners Iren, Cleanspark Shares Plunge As Earnings Fall Short

Crypto mining stocks have declined across the board the value of the entire crypto market fell almost 9% on Thursday.

Shares in crypto mining companies IREN and CleanSpark sank on Thursday as their earnings came in below Wall Street expectations and Bitcoin’s slide saw traders turn risk-off.

Bitcoin (BTC) has fallen 12% over the past 24 hours to briefly touch a low of $60,000 early on Friday. Meanwhile, the crypto market capitalization fell by almost 9%, according to CoinMarketCap.

CleanSpark (CLSK) led the decline, closing trading on Thursday down 19.13% and falling another 8.6% after-hours to $7.55 after its results for the quarter ended Dec. 31 came in below analyst predictions.

CleanSpark said on Thursday that its revenues for the quarter ended Dec. 31 came in at $181.20 million, missing analyst estimates of $186.66 million by around 2.9%.

Analysts at Zacks said that the reduced mining rewards following the Bitcoin halving in April 2024 likely led to “lower mining efficiency” and therefore potentially “constrained profit” during the period.

CleanSpark reported a net loss of $378.7 million, a sharp year-on-year decline compared to the net profit of $246.8 million it reported for the same period in 2024.

CleanSpark’s chief financial officer and president, Gary Vecchiarelli, said that the company is “no longer a single-track business,” as it looks to artificial intelligence to boost profits.

“Bitcoin mining generates the cash flow, AI infrastructure monetizes the assets over the long term, and our Digital Asset Management function optimizes capital and liquidity across cycles,” Vecchiarelli said.

IREN Ltd, which has moved its core operations from Bitcoin to providing AI infrastructure, also missed earnings on Thursday, with its shares closing the day down 11.46% and falling an additional 18.5% after hours to $32.42.

Source: CoinTelegraph