Nasdaq listed Canaan Creative Sees A Boost in Demand for Bitcoin Miners As Crypto Prices Rise
Bitcoin Mining firms are struggling to meet the increased demand for mining machines despite the rising prices of cryptocurrencies.
According to Canaan Creative, a Nasdaq listed firm, crypto mining orders have been rising despite Bitcoin’s hitting new highs in the recent past. Over the weekend, Bitcoin’s price surged to a new level, trading at $60,000. The king coin has been bullish over the last year, with its value increasing by about 110 percent since January this year.
Buoyed by the rising price, Bitcoin mining equipment manufacturers have witnessed their businesses hitting the peak with some grappling to meet the soaring demand.
As one of the largest mining equipment manufacturers, Canaan Creative claims that its orders have been increasing since 2020. The firm stated that North America and Central Asia are the largest sources of the current surge in demand.
According to Global Times, the firm’s presale mining hardware to the North American region were about 120,000 units which is a 17% surge from mid-Feb.
In the wake of the global shortage of mining chips, Canaan entered into agreements with various fabrication plants in advance, giving the company leeway to manufacture mining hardware as per the market demand.
To take advantage of the soaring Bitcoin prices, the firm intends to kick-off its own mining business later in the year rather than just providing mining machines.
The firm stated that Bitcoin’s price is likely to be bullish following the recent plans by the US government to inject about $1.9 trillion into the economy following the sluggish growth and collapse due to the Covid-19 pandemic.