Actions related to cryptocurrencies included Marathon Digital Holdings Inc. (NASDAQ: WOMAN) i Riot Blockchain Inc. (NASDAQ: RIOT) traded higher on Wednesday amid a rise in price Bitcoin (CRYPTO: BTC) i Ethereum (CRYPTO: ETH) and positive analyst coverage from B. Riley Securities.
B. Riley Securities analyst Lucas Pipes held Digital Marathon with a Buy rating and raised the target price from $ 54 to $ 87. Pipes kept Riot Blockchain with a Buy rating and raised the target price from $ 51 to $ 82.
The analyst’s model now assumes a Bitcoin price of $ 45,000 compared to the previous assumption of a Bitcoin price of $ 35,000. The model was also adjusted to reflect higher mining costs. Despite higher costs, the unit’s economy for digital mining remains “highly attractive,” according to the analyst.
“While these adjustments represent a large increase over our previous estimates, we believe our model is still conservative,” Pipes said.
Digital Marathon focuses on digital asset mining. It owns cryptocurrency mining machines and a data center to exploit digital assets.
Riot Blockchain focuses on the construction, support and operation of blockchain technologies.
BTC, ETH price action: Bitcoin rose 2.71% in a 24-hour period and Ethereum rose 3.55% in a 24-hour period at the time of publication.
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