8 Best Crypto and Blockchain Stocks To Buy According to Analysts

2. Bitfarms Ltd. (NASDAQ:BITF)

Analyst Upside: 102.38% 

Number of Hedge Fund Holders: 14

Bitfarms Ltd. (NASDAQ:BITF) is a leading industry in the cryptocurrency and blockchain industry and is a vertically integrated Bitcoin mining company based in Canada. It owns, develops, and operates vertically integrated mining farms with in-house management, Company-owned electrical engineering, on-site technical repair centers, and installation services. It operates in the cryptocurrency mining segment and owns 11 farms located in the United States, Canada, Paraguay, and Argentina. The firm also operates server farms that deal with blockchain transactions.

The company holds a competitive advantage in the industry due to its strategic approach and energy portfolio. It boasts the largest, internationally diversified energy contracts portfolio in the Bitcoin data center business, which it has managed to grow organically. Its exposure to different sources of energy and providers, geographies, climates, and government authorities significantly de-risks its portfolio, leading nearly every market it operates in at scale.

Bitfarms Ltd. (NASDAQ:BITF) is revamping its organizational structure to better match its scale of operations and future goals. 2024 proved to be a transformational year for the company, as it upgraded 10 data centers and added 3 new data centers to its portfolio. It unracked more than 50,000 older gen miners and racked over 46,000 new miners, increasing its hashrate by 83% to 11.9 exahash in fiscal Q3 2024. It also reached its year-end efficiency goal three months ahead of schedule, improving its efficiency by 40% from 35 watts per terahash to 21 watts per terahash and highlighting its strong operational model.

Apart from these quantitative improvements, Bitfarms Ltd. (NASDAQ:BITF) announced the acquisition of Stronghold Digital Mining, marking the largest acquisition between two public companies in the Bitcoin mining sector yet. It also significantly enhanced its Leadership team and Board of Directors, and is on the path to improving the overall functioning of the company.