Mining company Hut 8 Mining (HUT) saw first-quarter revenue fall more than -64% to CAD 19 million ($14.16 million) year-over-year. Previously, the company was forced to shut down some machines due to a dispute with its energy supplier.
Revenue fell -13% from the previous quarter, which was below analysts’ expectations. The company posted an EPS gain of CAD 0.47 versus a loss forecast of CAD 0.15 on FactSet.
As the cryptocurrency mining industry begins to recover from a brutal crypto winter in which majors such as Compute North and Core Scientific (CORZ) filed for Chapter 11 bankruptcy protection, Hut 8 had to shut down around 8,000 machines at its facility in Ontario. The dispute with the energy supplier has been going on since mid-November. Since then, 1,000 excavators have been restored.
In addition, the Drumheller branch is operating at only 15% capacity due to electrical problems that damaged the equipment. The site probably accounts for about 0.9 EH/s of Hut 8’s total computing power of 2.6 EH/s.
It is worth noting that Hut 8 is in the process of merging with US Bitcoin Corp. (USBTC), a private miner operating in New York and Texas.
Technical Market Outlook:
The BTC/USD pair has made a new swing low at the level of $26,150 (at the time of writing the article), so the bears are in full control of the market and the next target for bears is seen at the level of $25,257. This level is very close to the 50% Fibonacci retracement level seen at $25,335. The intraday technical resistance is located at $26,500.
The bigger time frame correction is more complex and time-consuming, however the bulls are still trying to increase the volatility and break above the intraday technical resistance seen at $30,004. Only a sustained breakout above this level might change the outlook to more bullish, otherwise the market remains in corrective mode and horizontal trend to be continued.
Weekly Pivot Points:
WR3 – $29,884
WR2 – $29,080
WR1 – $28,607
Weekly Pivot – $28,315
WS1 – $27,843
WS2 – $27,550
WS3 – $26,786
Trading Outlook:
The bulls broken above the gamechanging level located at $25,442, so now the mid-term outlook for BTC is bullish. The next target for bulls is seen at the level of $32,350. As long as the level of 19,572 is not clearly violated, there is a chance for a long-term up trend to continue.
The material has been provided by InstaForex Company – www.instaforex.com
Crypto Industry News:
Mining company Hut 8 Mining (HUT) saw first-quarter revenue fall more than -64% to CAD 19 million ($14.16 million) year-over-year. Previously, the company was forced to shut down some machines due to a dispute with its energy supplier.
Revenue fell -13% from the previous quarter, which was below analysts’ expectations. The company posted an EPS gain of CAD 0.47 versus a loss forecast of CAD 0.15 on FactSet.
As the cryptocurrency mining industry begins to recover from a brutal crypto winter in which majors such as Compute North and Core Scientific (CORZ) filed for Chapter 11 bankruptcy protection, Hut 8 had to shut down around 8,000 machines at its facility in Ontario. The dispute with the energy supplier has been going on since mid-November. Since then, 1,000 excavators have been restored.
In addition, the Drumheller branch is operating at only 15% capacity due to electrical problems that damaged the equipment. The site probably accounts for about 0.9 EH/s of Hut 8’s total computing power of 2.6 EH/s.
It is worth noting that Hut 8 is in the process of merging with US Bitcoin Corp. (USBTC), a private miner operating in New York and Texas.
Technical Market Outlook:
The BTC/USD pair has made a new swing low at the level of $26,150 (at the time of writing the article), so the bears are in full control of the market and the next target for bears is seen at the level of $25,257. This level is very close to the 50% Fibonacci retracement level seen at $25,335. The intraday technical resistance is located at $26,500.
The bigger time frame correction is more complex and time-consuming, however the bulls are still trying to increase the volatility and break above the intraday technical resistance seen at $30,004. Only a sustained breakout above this level might change the outlook to more bullish, otherwise the market remains in corrective mode and horizontal trend to be continued.
Weekly Pivot Points:
WR3 – $29,884
WR2 – $29,080
WR1 – $28,607
Weekly Pivot – $28,315
WS1 – $27,843
WS2 – $27,550
WS3 – $26,786
Trading Outlook:
The bulls broken above the gamechanging level located at $25,442, so now the mid-term outlook for BTC is bullish. The next target for bulls is seen at the level of $32,350. As long as the level of 19,572 is not clearly violated, there is a chance for a long-term up trend to continue.
The material has been provided by InstaForex Company – www.instaforex.com
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