Bitcoin’s 23% rally sends beaten-down miners soaring past AI stocks

Bitcoin’s August rally has revived some of the mining sector’s most beaten-down stocks, reversing a trend that has favored miners pivoting toward artificial intelligence and high-performance computing and suggesting investors may once again be rewarding direct exposure to Bitcoin.

Three beaten-down Bitcoin mining companies — Canaan, American Bitcoin and Cango — gained between 41% and 67%. By comparison, CoreWeave rose about 21%, Nebius gained 17% and IREN advanced 15%, while some miners with heavier exposure to AI and HPC were flat or declined.

Blocksbridge pointed to three catalysts behind Bitcoin’s rally. The first was the US Treasury Department’s Aug. 19 announcement that it would at least double the size of its liquidity-support buybacks for longer-dated Treasury securities.

The second was renewed regulatory optimism following a White House meeting with crypto executives, where US President Donald Trump urged Congress to pass a “fair version” of the CLARITY Act, a stalled crypto market structure bill.

The third was a sharp short squeeze following Bitcoin’s breakout, with more than $1.6 billion in crypto positions liquidated over 24 hours.

Bitcoin mining-focused stocks outperformed companies that pivoted toward AI and HPC. Source: Miner Weekly