NEW YORK - The recent approval of exchange-traded funds (ETFs) on Bitcoin has led to a significant decline in the demand for cryptocurrency mining stocks, with shares of companies like RIOT Blockchain and CleanSpark (NASDAQ:CLSK) experiencing a downturn. In particular, the WGMI index, which tracks mining stocks, has recorded a significant decrease of 38% this year.

Despite the current bearish sentiment, Bernstein, a major research firm, has maintained a positive outlook on these stocks. The company suggests that the upcoming Bitcoin halving event, expected in April, could signal a short-term bottom for the price of Bitcoin, potentially creating a profitable buying opportunity for investors. Bernstein analysts recommend that investors maintain their long positions in mining stocks like RIOT and CLSK, anticipating potential gains from the next price inflection point.

In line with this perspective, JPMorgan, a leading global financial services firm, has upgraded the rating of RIOT Blockchain to Neutral. The bank also maintains a neutral position on CleanSpark, reflecting a cautious but not pessimistic view of the sector's prospects.#BTC