CleanSpark Monthly Mining Report for July 2024
CleanSpark, a publicly traded Bitcoin mining company, has unveiled its monthly mining report for July 2024. The report highlights that the firm sold a mere 2.54 Bitcoin throughout the month, with the average selling price hovering around $62,000. Despite the minimal sales, CleanSpark’s mining operations have proven fruitful, with the company mining a total of 494 BTC in July alone. This brings the cumulative total for the year to an impressive 4,108 BTC.
The firm’s Bitcoin holdings have seen a significant boost, with reserves reaching 7,082 BTC as of July 31, 2024. This marks a substantial increase of 567% compared to the same period last year, underscoring CleanSpark’s strategic focus on bolstering its treasury.
CleanSpark’s Expansion into Wyoming and Tennessee
In addition to its robust mining activities, CleanSpark has also embarked on an ambitious expansion plan. The company has secured its first mining site in Wyoming, backed by power agreements that will supply 75 megawatts of electricity to the facility. This move is part of a broader strategy to increase its operational footprint and enhance mining capabilities.
Moreover, CleanSpark has completed a merger with mining company GRIID earlier this year, enabling it to operate a new facility in Tennessee. The Tennessee site currently boasts 50 megawatts of available power, further bolstering CleanSpark’s mining capacity.
Operating Hashrate and Future Goals
As of the end of July, CleanSpark reported an operating hashrate of 21.2 exahashes per second (EH/s). The company has set an ambitious target to reach a hashrate of 32 EH/s by the end of the year. Achieving this goal would significantly enhance CleanSpark’s competitive edge in the Bitcoin mining industry.
A Broader Trend: Low Selling Pressure Among Miners
CleanSpark’s low Bitcoin selling volume in July reflects a broader trend observed across the Bitcoin mining sector. Miner reserves, which indicate the amount of BTC held by miners, have been steadily declining since 2021. This decline suggests a reduction in supply-side selling pressure, contributing to a more stable market environment.
Data from CryptoQuant reveals that the Miner to Exchange Flow—a metric tracking the number of BTC sent to exchanges from miners—spiked to 13,729 BTC on July 24. However, it has remained relatively low compared to the miner exchange flows recorded between January and April 2024.
Factors Contributing to Low Selling Pressure
Several factors have contributed to the low selling pressure observed in July. Notably, there has been a dramatic 50% increase in miner revenues since the start of the month. This surge in revenues, coupled with a rise in the Bitcoin hashrate, has incentivized miners to hold onto their Bitcoin rather than sell.
For instance, Marathon Digital Holdings, now known as Mara, reportedly did not sell any of its Bitcoin holdings in June. This decision indicates a strategic move by the mining company to hold onto the decentralized asset in anticipation of future price increases.
Market Implications and Future Outlook
The current trend of low selling pressure among Bitcoin miners could have significant implications for the broader cryptocurrency market. As miners continue to hold onto their BTC, the reduced supply on exchanges could contribute to upward pressure on Bitcoin prices. This dynamic is particularly relevant as the market anticipates future price increases and potential regulatory developments.
Moreover, the expansion of mining operations by companies like CleanSpark and Mara signals a growing confidence in the long-term viability and profitability of Bitcoin mining. As these firms invest in new facilities and increase their operational capacity, they are positioning themselves to capitalize on future market opportunities.
In conclusion, CleanSpark’s July report highlights the company’s strategic focus on increasing its Bitcoin reserves and expanding its mining operations. The broader trend of low selling pressure among miners, combined with rising revenues and hashrates, paints a positive outlook for the Bitcoin mining industry. As the market evolves, the actions of key players like CleanSpark will continue to shape the future trajectory of Bitcoin and the broader cryptocurrency ecosystem.
