Crypto Mining Firm Argo Blockchain Significantly Upgrades Forecast After Market Surge for Q2
- Argo informs it expects a better Q2 performance
- The crypto market has performed positively during the last months
The cryptocurrency mining firm Argo Blockchain decided to upgrade its second-quarter forecast after the recent price surge in the crypto space. The information was released by Alliance, the news agency for London South East on June 3. After the news about the company, its shares grew 20% and reached 6.29 pence.
Argo Blockchain Upgrades Q2 Forecast
After very positive months for digital assets, the London-based mining firm Argo Blockchain revealed that it expects to generate 420 Bitcoin (BTC) worth of virtual currencies on its balance sheet. This could be close to $3.5 million depending on the price of the most popular digital asset.
These new estimations are 57% higher than Argo’s initial forecast, according to Alliance, this is due to the fact that Bitcoin has performed very well this spring. With this improvement of its balance sheet and the effect this had on its shares, the company has now a market capitalization of £18 million.
Moreover, the company is expected to generate £685,000 in cryptocurrency assets, this is 37% more than the previous estimations. Cash operating costs may be close to previous estimates at £280,000. Argo has also reported that it will be delivering a new cryptomining gear ahead of schedule.
The company explained that as the market improves and the sentiment becomes more positive, the goal is to position Argo for the long term and beat previous expectations. Back in August 2018, Argo became the first crypto-related firm that joined the London Stock Exchange (LSE). The company was able to raise $32 million for a valuation of about $61 million.
The firm announced earlier this year that it was going to be terminating the mining-as-a-service operations and it was going to be focused solely on direct mining activities.
During the last months, Bitcoin was able to more than double in value after it moved from $4,200 to over $9,000 a few weeks ago.