“Hey Curly, taking down anyone today?” quipped Mitch, played by Billy Crystal, to Curly, portrayed by Jack Palance, in City Slickers. Curly’s response was, “The day’s not over yet.”
Bernstein, however, appears ready to wrap things up, suggesting that bitcoin’s (BTC) current decline of just 26% from its peak hit less than three months ago is a sign of resilience.
Previous turmoil, such as the Covid-19 pandemic and interest rate shocks, caused the leading cryptocurrency to “plunge off the cliff,” experiencing drawdowns of 50-70%, as highlighted in the analysis.
The trading trends “indicate strong demand from more resilient capital,” the study led by Gautam Chhugani remarked.
“The narrative of Bitcoin as digital gold has been reinforced, fueled by increasing institutional acceptance—the flow of investments from ETFs and corporate treasuries is on the rise,” the analysts stated.
Nonetheless, tariffs present a challenge for the miners.
These tariffs affect the mining supply chain, resulting in negative repercussions for the hashrate of U.S. bitcoin miners, Bernstein noted. The hashrate reflects the total computational power utilized for mining and processing transactions on a proof-of-work blockchain, serving as an indicator of industry competition and mining difficulty.
Major players in bitcoin mining, including Riot Platforms (RIOT), IREN (IREN), MARA Holdings (MARA), and CleanSpark (CLSK), may capture more market share given their scaled operations and the potential for leveraging artificial intelligence (AI), as indicated in the report.
Learn more: Why Trump’s Tariffs Could Actually Be Good for Bitcoin