In the wake of the digital gold rush, the traditional business model of many $BTC (+5,64 %)miners is under pressure. Halving, fluctuating $BTC (+5,64 %)prices, and high energy costs are making revenue less predictable. At the same time, demand for computing power for AI and high-performance computing is growing.

This is precisely where large miners have a potential advantage: They already have facilities, access to electricity, cooling systems, and experience with energy-intensive infrastructure. Some companies are therefore trying to use their data centers not only for #bitcoinmining but also for AI clients.

This is changing the industry’s profile. Some $BTC (+5,64 %)miners are, in some cases, becoming infrastructure companies at the intersection of crypto, energy, and technology. This can be interesting for investors, but it makes analysis more complex: It’s not just hashrate and $BTC (+5,64 %)price, but also electricity contracts, customer quality, financing, and implementation.

The trend is promising, but not without risk. AI data centers place higher demands on availability, technology, and capital. Not every miner will automatically emerge as a winner in the AI boom.

$BITC (+4,85 %)

The CPI (U.S. inflation indicator) wasn’t the only inflation story last week. U.S. diesel prices have risen above $6 per gallon for the first time, and the price of oil in Shanghai rose significantly as China appears to be slowing the drawdown of its reserves—a bad sign for global inflation that aligns with Iran’s interests ahead of the midterms. Coupled with robust labor market data and strong inflation, the Fed has little room to maneuver. This is also unfavorable for the Treasury: Interest rate hikes directly impact debt service costs, while buybacks have so far failed to depress long-term yields.

The bigger factor for growth is likely to be the wave of AI investment. Whether the massive AI spending will pay off is becoming more questionable: Frontier models do not consistently outperform cheaper open-source alternatives, and the circular investment structure could become a problem if rising long-term interest rates make financing more difficult.

The bottom line is that monetary policy #bitcoin short-term potential. Both plausible outcomes—a recession accompanied by interest rate cuts, or yield control that tips into fiscal dominance—boil down to the same devaluation scenario, an environment that $GOLD and $BTC (+5,64 %) favors.

You can invest in Bitcoin through the following platform: $BITC (+4,85 %)

The latest U.S. inflation data is dampening hopes for a rapid easing of monetary policy. In particular, the surprisingly high core inflation rate increases the risk that the Federal Reserve will maintain a restrictive stance for longer or raise interest rates again. For #bitcoin this represents headwinds in the short term: Following inflows of about 1.3 billion U.S. dollars the previous week, investors have withdrawn 243 million U.S. dollars from digital asset investment products so far this week. A sustained break above $80,000 is therefore likely to be more difficult for the time being.

In the medium term, however, the picture could change. The U.S. Treasury is already stepping up its repurchases of long-term government bonds, but has barely managed to lower yields as a result. Persistent inflation and fiscal concerns have so far overshadowed the impact of these purchases. If financing costs remain high, political pressure for a significantly larger buyback program could increase.

Such an intervention would exacerbate concerns about government debt, fiscal dominance, and the dollar’s long-term purchasing power. It is precisely this environment that reinforces the narrative of monetary devaluation, from which scarce assets such as $BTC (+5,64 %) and $GOLD could benefit.

$BITC (+4,85 %)

The latest CPI data was not good news for $BTC (+5,64 %). Core inflation came in slightly higher than expected, thereby increasing the likelihood that the Fed will remain hawkish—just when the market had been hoping for weaker inflation data to serve as a catalyst for a breakout above $80,000. This sentiment is also reflected in fund flows: After about $1.3 billion in inflows into digital investment products last week, outflows of $243 million have been recorded so far this week.

The real catalyst, however, could come from the U.S. Treasury. Despite larger purchases at the long end, the expanded bond buyback program has so far failed to push yields down noticeably—a sign of the enormous pressure on the bond market caused by fiscal concerns and a persistently high term premium. If this continues, pressure will mount on Treasury Secretary Bessent to intervene more aggressively—with rising oil prices breathing down his neck, the risk of a significantly larger, “bazooka-style” purchase program increases.

Such an escalation would further fuel the debasement narrative, which has recently been $BTC (+5,64 %) and $GOLD . The situation for #bitcoin is thus two-sided: in the short term, the CPI figure is a headwind, but the bond-buyback program—which has been ineffective so far—could become one of the stronger catalysts in the medium term.

(Author: James Butterfill, CoinShares’ Head of Research)

You can invest in Bitcoin through the following vehicle: $BITC (+4,85 %)

CoinShares has launched the CoinShares Bitcoin Mining UCITS ETF, which is listed on Xetra under the ticker symbol MINE. The fund offers investors regulated and diversified access to publicly traded $BTC (+5,64 %)mining companies without #bitcoin holding them directly.

The Ireland-domiciled UCITS ETF physically and fully replicates the CoinShares $BTC (+5,64 %) Mining Index physically and in full. The index is administered by Solactive and, in addition to company size, takes into account factors such as hashrate, cost efficiency, profitability, balance sheet strength, energy efficiency, and governance.

Key details: Ticker MINE, ISIN IE0008EKJPN4, TER 0.65% p.a., quarterly rebalancing.

This product may be of interest to investors seeking access to the Bitcoin ecosystem’s infrastructure but $BTC (+5,64 %) do not wish to hold it directly. At the same time, the ETF remains exposed to $BTC (+5,64 %)price risk and the specific risks of the mining sector.

This is a marketing communication. The CoinShares Bitcoin Mining UCITS ETF is passively managed and aims to track the performance of the underlying index. Its trading price on the secondary market may deviate from both the net asset value (NAV) and the value of the underlying index. Shares in a listed UCITS (“UCITS ETF”) purchased on the secondary market generally cannot be sold back directly to the listed UCITS. Investors must buy and sell shares on the secondary market through an intermediary (such as a broker), which may incur costs. In addition, investors may pay more than the current net asset value when purchasing shares and may receive less than that value when selling them. Before making a final investment decision, please review the prospectus and the Key Investor Information Document (KIID). These documents, as well as information on the portfolio and the index, can be found on the website: CoinShares ETPs – Dokumente & Factsheets.

$BITC (+4,85 %)

$BTC (+5,64 %)-Mining is one of the core systems behind the #bitcoin-network.

Miners provide computing power to validate transactions, secure the network, and add new blocks to the blockchain. In return, they can receive block rewards and transaction fees.

From an investor’s perspective, however, publicly traded $BTC (+5,64 %)miners are not the same as $BTC (+5,64 %) the mining process itself. They are operating companies. Their performance may be linked to the $BTC (+5,64 %)price, but also depends on electricity costs, hardware efficiency, production costs, balance sheet strength, regulation, cybersecurity, and management quality.

Therefore, an investment in mining stocks may perform differently than a direct investment in Bitcoin. It provides access to the infrastructure behind $BTC (+5,64 %), but it also entails company-specific, operational, ESG, regulatory, and market risks.

A UCITS ETF can bundle a diversified basket of publicly traded mining companies into a familiar, exchange-traded fund structure. This does not eliminate the risks and is not a direct $BTC (+5,64 %)investment. However, it can make this part of the Bitcoin ecosystem easier to analyze, compare, and access.

$BITC (+4,85 %)

The U.S. Treasury is buying more long-term Treasury bonds than usual—outside of its normal schedule. Officially, this is not a new QE program, but investors see it as a signal: Washington apparently wants to cap long-term interest rates. This increases pressure on the Fed to lower short-term interest rates—even as inflation remains stubbornly high and the Fed has recently shown itself to be rather cautious. This contradiction is eroding confidence in the dollar and benefiting investments such as $GOLD and $BTC (+5,64 %) the so-called “debasement trade.”

In the case of #bitcoin , something unusual came into play: For an entire year, hedges against falling prices on the options markets were conspicuously expensive—a sign of just how cautiously many investors were positioned. Following statements by U.S. Treasury Secretary Bessent, the picture abruptly reversed; strong ETF inflows triggered a sharp rally, during which the price rose by double digits within a few days. The pattern is reminiscent of January 2023, the end of the last bear market. Following this strong rally, a breather is likely for now—but the chances that the bear market is actually over continue to rise.

$BITC (+4,85 %)

By expanding its purchases of long-term U.S. Treasury bonds outside the usual refinancing schedule—and thus departing from the principle of “regularity and predictability”—the U.S. Treasury Department $BTC (+5,64 %) helped the market emerge from its recent slump. A strong recovery followed, amplified by a market heavily positioned in short positions and limited hedging against rising prices. At first glance, ETF inflows also appeared impressive, raising the question of how much real risk the market has actually rebuilt. However, the attached chart shows that risk-taking remains very limited so far. A significant portion of the inflows is likely to have gone toward rebuilding carry trade positions instead, aided by the sharp rise in the CME futures basis. The massive outflows from June and July are thus far from being fully offset—so far, there has been only a limited return of investors to the market.

In the short term, the continuation of the rally depends heavily on this week’s inflation data, which is likely to significantly shape expectations regarding the Fed’s decision in September. Following the robust labor market data, expectations of a rapid interest rate cut have recently become more cautious. However, the Treasury Department’s strategy of increasingly concentrating U.S. debt issuance at the short end of the yield curve is also making monetary policy increasingly a matter of government refinancing costs. In the medium term, this creates additional pressure to keep short-term interest rates low for longer. At the same time, current inflation is largely driven by rising oil prices resulting from the war in Iran. An easing of tensions on this front is therefore likely to have a noticeable impact on the monetary policy outlook in the U.S.—and, consequently, on #bitcoin—.

You can invest in Bitcoin through the following vehicle: $BITC (+4,85 %)

$ETH (+4,06 %) For the most part, it moved sideways between $1,800 and $1,950 during the first half of August. The turning point came on August 19, when the U.S. Treasury announced it would at least double the volume of its purchases of long-term bonds. $BTC (+5,64 %) initially rose more sharply, but the rotation toward $ETH (+4,06 %) quickly became the dominant trade. $ETH (+4,06 %) gained about 30% in August.

Demand in the spot market further fueled the rally. U.S.-listed #ethereumETFs recorded inflows totaling $1.60 billion over eleven consecutive trading days starting August 17—without a single day of net outflows. The week ending August 21 brought in $693 million, and the following week saw inflows rise further to $816 million. The strongest single session was August 27, when the products attracted $225.8 million—the best day since October 2025. Cumulative net inflows since the fund’s launch now total $13.1 billion.

ETH has also #bitcoin , ETH has regained ground: $ETH (+4,06 %)/$BTC (+5,64 %) is trading at around 0.031, compared to a June low of 0.024. This relative strength suggests that investors are actively $ETH (+4,06 %) reallocating their portfolios rather than simply buying into the rally as part of a broader crypto uptrend. The next phase is likely to depend primarily on whether spot and ETF demand persists—especially if $BTC (+5,64 %) should lose momentum.

$BITC (+4,85 %)

$CETH (+3,87 %)

$BTC (+5,64 %) remained below $65,000 for six weeks before the futures market sparked new momentum. The catalyst was a plan announced by the U.S. Treasury on August 19 to double its repurchases of long-term Treasury bonds. According to CoinGlass, the ensuing price movement led to the liquidation of nearly $2.7 billion in crypto short positions within 24 hours—the largest forced unwinding of bearish bets since records began in 2021.

When short positions are liquidated, exchanges automatically buy back the asset to close the position. This creates additional buying pressure. Short liquidations exceeded long liquidations by more than tenfold and helped #bitcointhe price to break out of its trading range by over 20 percent.

U.S.-listed $BTC (+5,64 %)ETFs supported the rally. Last week, they saw inflows of approximately $1.92 billion, the strongest weekly figure in ten months. At the same time, derivatives data show that positioning is not yet overheated: funding rates remain moderate, and open interest is recovering only gradually. The key question now is whether spot inflows will continue, thereby giving the rally a broader base. This keeps the focus clearly on real demand, not just on short-term liquidation dynamics.

You can invest in Bitcoin through the following vehicle: $BITC (+4,85 %)