If you’re hearing the name Marathon Patent Group (NASDAQ:MARA) for the first time, you might be curious about the company and its connection to cryptocurrency. Moreover, you might be curious as to why MARA stock has been making such big moves with heavy trading volumes lately.
People who might be unfamiliar with Marathon Patent Group might think that all the company does is apply for patents. In actuality, the company is an ambitious up-and-coming name in the field of cryptocurrency mining.
In fact, Marathon Patent Group is one of the first cryptocurrency mining companies to be listed on the Nasdaq Exchange. The company is not only an early mover in the space, but it is an aggressive competitor among cryptocurrency miners.
Therefore, only firm believers in the future of Bitcoin (BTC) and other digital assets should take a long position in MARA stock. With that in mind, let’s take a glance at Mara’s recent price action.
A Closer Look at MARA Stock
Some folks might choose to use MARA stock as a proxy or substitute for owning Bitcoin. That’s because Mara’s share price tends to follow the price of Bitcoin, at least to a certain extent.
I’m not trying to imply that Mara’s share price exactly corresponds with Bitcoin’s price moves. However, it is notable that MARA stock mirrored Bitcoin’s late-2017 bull move with a price surge of its own.
Fast-forward to January of this year, and MARA stock is almost moving in tandem with Bitcoin once again. While Bitcoin was famously spiking to $30,000 and beyond, Mara’s share price was rocketing from the $12 area in December to a 52-week high of $28.37 on Jan. 8.
The shares did retrace to the $21 area by early February, but it’s evident that the bulls are in control overall. Still, it’s important to learn as much as you can about the company, rather than just assume that the stock will push higher based on Bitcoin’s bull run.
Expanding the Mining Portfolio
Some people might say that “more is better” when it comes to Bitcoin mining equipment. That would certainly be the case for those who believe that the price of Bitcoin is going to continue on its upward trajectory.
Marathon Patent Group appears to be putting the “more is better” credo into action. As evidence of this, the company made a massive equipment purchase from Bitmain.
Specifically, Marathon Patent Group inked a deal with Bitmain to purchase 10,000 Antminer S-19j Pro ASIC miners, bringing Mara’s total to a mind-blowing 33,560 ASIC miners.
The purchase is a major upgrade for Mara, to say the least. Bitmain’s Antminer Sales Director of North, Central, and South America Irene Gao elaborated on the equipment’s value:
“Equipped with the most advanced chipset currently available, the high-performance and low power consumption of the miners will significantly expand the operations of Marathon’s mining business.”
More Exposure to Bitcoin
Previously, I emphasized the…