A confident CEO gathers the troops

I’m bullish on Riot Blockchain (RIOT) storage. The cryptocurrency revolution is still alive and well, even though it took a break for a while. If you are looking for a convenient way to make a comeback in crypto and mining, Riot shares can be your ticket to long-term wealth.

Riot Blockchain is a bitcoin (BTC-USD) miner and was an early pioneer in this industry. There is a limited supply of 21 million bitcoins, but there are still many bitcoins left to be recovered. Therefore, there is room for a company like Riot to make money even when cryptocurrency prices rise and fall.

Admittedly, mining companies are very dependent on the prices of what they extract. It’s just like gold miners, who tend to prosper when gold prices go up, but who struggle when gold loses value. Riot Blockchain has a similar correlation with bitcoin, and there is bad news when bitcoin falls – but when it rises, this could give Riot’s shareholders a big boost.

Riot Blockchain’s CEO is confident in Crypto Mining

It is no secret that cryptocurrency prices have generally fallen in 2022 so far. In fact, bitcoin had exactly the worst first half of its history. It may be a difficult pill for cryptocurrencies to swallow, but let’s not forget that bitcoin recovered after several steep falls in the past.

However, the worst of this year’s bitcoin sales may be in the rearview mirror. Prime Trust President Erin Holloway hinted at a bottom-up process for the crypto market, saying, “I think we’re starting to see what I call seller fatigue,” and “Many people have already rebalanced their portfolios accordingly.”

Holloway further suggested that while traders should expect daily volatility, the “stable dives will slow down” in the cryptocurrency market. While there is absolutely no guarantee, people who own Riot Blockchain shares can hope that Holloway’s optimistic forecast turns out to be correct.

Also optimistic is Riot Blockchain CEO Jason Les, who recently gave the company’s stakeholders an exciting announcement. Les specifically reported that Riot is expanding its Texas-located Winstone mine plant to around 700 megawatts. The CEO also engaged in some boasting, declaring that the Winstone plant is “the largest plant in North America and what we believe will soon be the largest in the world.”

To a certain extent, bragging is part of a blockchain company’s CEO’s job description, and so is gathering troops for the future of crypto. Thus, it is understandable for Les to declare that cryptocurrency mining “will continue to flourish in the United States”, and that “although the economy of Bitcoin mining has declined, there are still enormous opportunities here”.

Riot Blockchain increases mining activity

When bitcoin fell below the $ 20,000 key level a week ago, it must have given a tough emotional blow to defenders of cryptocurrency. Just remember that investing should be seen as a marathon, not a sprint.

Also, a turnaround may be underway as bitcoin recently returned over $ 21,000 and had its best day in a month on July 18. In light of this, Oanda senior market analyst Edward Moya is preparing for better times, saying: “If bitcoin continues to stabilize here over the next two weeks, the crypto winter may be over.”

If the crypto winter finally ends and bitcoin goes towards $ 30,000, $ 40,000 and more, consider how far the Riot Blockchain stock can run. Just as gold mining stocks usually influence the movements of the gold price, Riot stocks tend to magnify the movements of bitcoin.

Of course, this enlargement is a double-edged sword, as rapid falls in the price of bitcoin could lead to huge losses for Rio’s shareholders. Still, if you can stand the ups and downs, the Riot Blockchain stock is a convenient way to bet on a cryptocurrency comeback in your brokerage account.

Also, if you are going to bet on a bitcoin miner, Riot is as good a choice as anything right now. In an update for June, Riot Blockchain revealed some dizzying statistics that should allay skeptics’ concerns.

If you can believe it, Riot Blockchain managed to produce 421 BTC in June, up about 73% year over year. In the same month, the company sold 300 Bitcoin, generating approximately $ 6.2 million in net revenue. Furthermore, Riot held around 6654 BTC as of June 30th.

Wall Streets Take

According to TipRanks’ analyst rating consensus, RIOT is a strong buy, based on six unanimous buy ratings. The average Riot Blockchain price target is $ 23.83, indicating 282.5% upside potential.

Riot Blockchain stocks can offer returns with multiple bags

There is no guarantee that bitcoin will go higher in the coming months. However, if the story is a reliable guide, large falls in bitcoin tend to lead to powerful collections in the end.

If the bullish thesis holds for bitcoin, Riot Blockchain’s CEO’s confidence will be fully confirmed. In that case, Riot Blockchain’s shareholders can hope for returns that exceed bitcoin’s gains by several sizes. Just be sure to keep a small position size, as steep falls are always a possibility.

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