Folks I Hope you're ready because we've got lots to discuss. Number One, we need to talk about what is going on with Mara Lovely Mara A key Bitcoin miner that is going completely parabolic right now. she's on a complete tear. We need to discuss exactly why she is running, what the data suggests is next, and why and why you need to put July 27th on your radar for Mara If you're going to touch this because a big event is going to happen that day and you need to know what it is and then for the second part of this video I Want to compare Maura to its key competitors like Riot and HUD 8 I Know there's some others, but these are some of the key competitors for Mara and I Want to break everything down from the amount of digital assets they hold on their balance sheets, to their net assets, to their adjusted ebitda and production capacity.

and I want to explain which may be the best bang for your buck, which you're going to perform the best over the coming weeks and months, and which may be the most risky. This will be a value-packed video and if you appreciate videos like this, make sure to hit that ravishing like button and subscribe. That is the only thing we ask In return. Helps out the channel quite a lot because it signals to YouTube that hey, there are some people that like this content I appreciate each and every single one of you and I hope that you had a great Fourth of July with your friends and family.

Okay, let's get right to work. Full context here: So Maura Lovely Mora was a stock we've covered extensively in previous years, dating back to January 3rd, 2021 when it was trading at about ten dollars a share and then rallied the next 10 months to 83 dollars which was about an 8X that it sold off to three and now it's back in building off those lows now. Mara tends to be a great great swing trade or possession trade when riding the momentum in Bitcoin and the overall cryptocurrency. Market However, it tends not to perform very well for people that attack it without a clear plan to lock in profits, cut losses quickly, or to get out when the trend breaks.

Remember, the trend is your friend until the trend bends and then the trend is no longer your friend. You can acknowledge that a stock a crypto Miner is going to be a winner over the long term, while also acknowledging that during Crypto Winters it's going to perform badly. Mara Lovely Mara has always been a very, very dirty tease, and if you're falling for the teasing you're not going to do well. You got to make sure that you understand that she's a teaser.

That way, you know how to handle her. Let's talk about what Maura actually is. So Maura of course is a crypto Miner specifically a Bitcoin miner. And there are several key reasons for why Bitcoin is going up and you have to understand that to understand why Mara is going up.

The first reason that Bitcoin is going up is because of institutional adoption. You have a number of major players on Wall Street like BlackRock filing for spot Bitcoin ETFs and despite some back and forth, well, a lot of analysts are increasingly confident that the SEC will eventually green light it. and if the SEC approves a spot Bitcoin ETF Well, you can expect a lot more institutional adoption of Bitcoin and a lot more Bitcoin ETFs to come out in the coming months afterwards. In fact, a lot of people right now a lot of Institutions are applying for a Bitcoin ETF just because BlackRock did it because they know hey, BlackRock BlackRock is one of the most well-connected powerful organizations on the planet and you could trust that they're not putting any effort or capital or time into projects that they don't think are going to get approved.

Now of course, it is worth mentioning that the SEC has denied about 30 plus applications for Bitcoin ETFs in the past, but because of this BlackRock situation, and because of the fine-tuning process that BlackRock is going through right now with the number of other competitors, well, a lot of people are expecting this to ultimately go through whenever that is. Secondly, you've also had a major SEC regulatory Crackdown that has increasingly being seen as attacking Altcoins and has resulted in capital flowing out of Altcoins and into just the top cryptocurrencies. specifically. Bitcoin It seems to most that Regulators see Bitcoin as not a security, which means that it doesn't fall under their regulatory body.

Thirdly, and maybe to a lesser extent, due to the dollar weakening, the cooling inflation data, the pausing or slowing down of rate hikes. Well, you've seen a lot of fun managers in the US decide, hey, you know what? Let's go ahead and start diversifying into alternative assets, of which Bitcoin is one of the leading and all of this has supported a pretty aggressive price appreciation in Bitcoin and thus has largely helped motivate Maura to the upside as well. Remember folks, Morrow's entire business model is based on Bitcoin, and where Bitcoin is trading has a huge impact on not just the profitability of the mining operations that produce Bitcoin but also the valuation of the Bitcoin that that moral holds on its balance sheet, which right now is valued at about 380 million bucks. But you see, it's more than just that.

There's also an underlying Market Dynamic happening here behind the scenes. You see. the thing is that Mara is a growth stock in a very, very heavily bet against industry. Which means what? Well, it means that Mara has been very, very heavily shorted.

And yes, you've seen a lot of shorts rushing to close short positions since really the beginning of March going from over 40 percent in short interest to now just around 20 percent. But but the problem though is that 20 is still a lot of short interest for a stock like this. and the problem is that that 20 that is still short here. Well, the stock is running massively against them right now.

and if they couldn't close out and they weren't motivated to close out at lower prices, which means buying back shares at lower prices. Well, now if they buy back, it's a lot more expensive to close out of those positions, right? So all of a sudden you're in the situation where where as the clock ticks and as more gets higher and higher and higher, Well this short pull, this short pull of about 20 percent are getting more and more squeezed and as they slowly get out of their positions which you could see they're trying to do very very slowly. Without Really spiking the price well, it's causing a lot more price appreciation and a lot more supporting for the stock. Any kind of dump that you get on Mara even if Bitcoin the underlying dumps and that causes more to go down, well, what happens? Well, the Shorts start using that as an opportunity to cover which then causes what a rush to find shares which then all of a sudden Boop more goes up.

more the more and more goes up the more this will be the case which could be quite beautiful. but let's talk about Mars Business model and progress. So Mara can benefit from this Bitcoin rally in two ways: Number one, of course the price they can sell Bitcoin for which is rising and number two, the appreciation of the Bitcoin that is already on it's balance sheet. You look at their numbers they were about to bounce back into net income again in Q1 of 2023 and keep in mind that the price of Bitcoin is higher now than it was in the Q1 report.

We'll see what happens in the Q2 reports, which which comes at the beginning of August but this is what the CEO said back then Quote: After weathering a tumultuous 2022 that tested the resilience of our entire industry. This Year is off to a strong start as we grew our hash rate, reduced our cost to mine, and improved our balance sheet during the first quarter. So they increased their hash rate which feeds into how much Bitcoin they can mine may reduce their costs to mine, and and they improved their balance sheet and this was for Q1. Imagine what they've done in Q2 now that they've learned a lot more about how to operate in a bad Bitcoin environment.

Well, now we're in a great Bitcoin environment. So what are they going to be reporting for Q2 Now Mara does give little snapshots of what she's doing on a month by month basis and you look at her reports: foreclosed 531, 2023 Well, you saw Bitcoin produced up 366 percent year over year and they aren't even at their full operational capacity yet. They've bought a lot of mining equipment that hasn't been put into operation. which means that as it's put into operation, you can expect hash rate and the overall production capacity to go up.

They report Quote: Once all of Marathon's previously purchased miners are installed, approximately 66 percent of the company's hash rate is expected to be generated by S19 XPS which are approximately 30 percent more energy efficient than the prior generation of mining rigs. So you have more production capacity coming. and and guess what, at a more energy efficient level, which means cost savings to produce? Bitcoin you look over at their Holdings they reported 12 259 in total BTC Holdings At the report for May 31st that was about a 23 percent increase year over year. But remember, of course the price of Bitcoin varies quite a lot minute by minute.

If Bitcoin is trading at a value of about 31 000 which is trading out about right now, well, that's about 380 million dollars worth of BTC Holdings If it's trading at January first prices though, January 1st 2023 prices, that's only about 196 million bucks. So it makes a big difference that not only they're Holdings have increased, but that the price of the underlying Holdings is up almost 2x this year now. of course, though, it's not all berries and roses for Mara and they have a big event coming on July 27th, which you need to be aware of. They will be voting then on several proposals, but the important one is proposal three: They are voting to increase their authorized shares of common stock from 200 million shares to 500 million.

Now, this is not a fun event by any means and perhaps shareholders end up voting No, but if you're someone who is trading this and trying to grab momentum I'd argue, you'd want to be out at worst a week before that happens. If they vote to more than double the authorized share count, that's going to be a disaster and people know that. so they're trying to trade the momentum right now and that should kill a lot of the pricing momentum around that week. On the flip side, they do have earnings coming on August 9th and if Bitcoin continues to Rally, you'd expect earnings to be a knockout.

But unfortunately again, I Think that this is going to be a huge, huge piece of anxiety over the minds of a lot of people who are trading this momentum right now and enjoying it now. Mara Lovely! Mara gets a lot of press because she's a dirty little tease and people like following dirty little teases. but she also has some key competitors like your Riot and your Hut 8. A strong, warm shout out to at Zip Charles early on Twitter for posting this excellent graphic.

He's a very, very, handsome gentleman. I Highly recommend following him. But here's the breakdown and the comparisons between these three companies: Your market cap on Mara is sitting at about 2.64 billion dollars, right at 2.43 billion and Hut at 1.07 billion. Now, fair warning: don't take the digital assets on balance sheet and cash on hand to literally because the numbers are constantly changing based on price and different quarterly reports and they're all reporting at different times and they've all had different conversions and at the same time Hut's numbers have to be converted from Canadian to USD, which that conversion rate changes a lot based on when you're watching this.

So don't take these numbers to literally just look at them as an idea of how much these companies are packing. And what you can see here is that Riot is the cash king and Mara is the digital asset King with the most Holdings in digital assets All Bitcoin really. And then you look at the Q1 report and these numbers are a lot more accurate because these are the literal numbers from the companies. Of course the hot ones are converted from Canadian, but still, these are probably the more accurate relevant numbers on here.

Your net assets from Mara are at 569 million, your net assets for Riot are at 1.092 billion, Your net assets for Hut are at 354 million. market cap to net asset ratio higher being more expensive is 4.63 for more Lovely Mara 2.22 for Riot and then 3.02 for Hut and adjusted ebitda. the ebit of the Taw Mara is leading at 18.6 million 7.497 million for Riot and then negative 2.784 million for Hut. And here's where you get into some of the production data: Maura's hash rate is far far greater than its competition.

it's actual production and Q1 was a little bit better than riots. However, if you look at their full deployment in Q2 to Q3 I bet it's going to be a lot better than riots and then Huts is in the lowest. But keep in mind that HUD has a bit more diversification in terms of business model then more on Riot do more and ride are mostly bit coin mining focused and Bitcoin holding focused. but in totality with Maura you're paying the most relative to assets, but you also get the most Firepower in terms of Bitcoin production.

With Riot, you're getting a very very healthy proof of concept and a very solid cash position. and honestly a pretty damn solid track record as well. And with Hut you're getting a little bit more diversification. A lot of digital assets on a cheat, but something that's not exactly leading as a crypto.

Miner Now which do I think is best? Well, when the underlying Bitcoin is rallying, you're going to see some of the best performance in the one that is betting the most aggressively on Bitcoin. which in my opinion based on the data is Maura Hands down, it's Mara Mara has its balance sheet heavily heavily weighted in Bitcoin digital assets at 380 million and its production is the highest and its production capacity projected moving forward is supposed to be much, much higher if you look at that hash rate and you look at all the other miners they're going to be deploying. So my guess is that in terms of Mara's business, it's going to be outperforming. I am a little bit worried about how this share vote happens at the end of the month, but but if you're looking at the business model and you're looking at the bigger picture, I think Mora is going to be a bigger performer than Riot.

However, if you're looking at something that's a much safer play that also has a very, very competitive amount of proof of concept and production capacity and is probably going to be a better all-weather whether it's winter crypto or it's summer for crypto kind of company, Well, Riot is hands down much better because Riot has a fair amount of cash on the sidelines that is not just stored away in Bitcoin. So if Bitcoin really takes a dive, well, all of a sudden they have a lot of money to really scale up whereas Mara being completely centered in Bitcoin doesn't have that luxury and another massive crypto winter, they would have to sell a lot of depreciated crypto in order to raise Capital. So in that sense, if you think that we're headed for another crypto winter in the next couple of months, Riot is going to be a much better bet. But if you think that we're heading up for the next couple of months, Maura I Know that share authorization situation is a little bit freaky, But anyways, let us know what you think is the best.

Did we miss one that you think is even better than these three? Well let us know down below, we appreciate each and every single one of you. And again, if you found value in this video, make sure to hit that ravishing like button and subscribe so you can find us for the next video which I think you're gonna like even better. Anyways, have a great one folks and I'll see you in the next video.