Mining Stocks Surge on Bitcoin Rally, Outpace AI Infrastructure Plays

Bitcoin's August rally has given a boost to mining stocks, which have seen significant gains. Shares of major miners including Canaan, American Bitcoin, and Cango surged between 41% and as much as 67% over the past week, outperforming AI infrastructure plays.

This comes after Bitcoin's roughly 23% gain over the same period. The rally was fueled by several factors, including the U.S. Treasury Department's announcement to at least double its liquidity-support purchases targeting long-term Treasuries and President Donald Trump's urging of Congress to pass a 'fair version' of the CLARITY Act.

A massive short squeeze also occurred after Bitcoin broke through resistance, liquidating $1.6 billion (approximately 2.2 trillion won) in crypto positions within 24 hours.

Notably, publicly traded Bitcoin miners have invested roughly $15 in AI data centers for every $1 of AI-related revenue, but this has yet to translate into profitability improvements. The recent price action suggests investors may be favoring companies with direct Bitcoin price exposure over those that have pivoted to AI infrastructure.