The ascent of Bitcoin and the cryptocurrency industry has been and continues to be rapid. With that rise, we have seen new businesses emerge, such as cryptocurrency miners. One of those companies is Marathon Digital Holdings (NASDAQ: MARA).
Marathon was founded in 2010 and focuses on digital asset mining. It owns cryptocurrency mining machines and a data center to mine digital assets. The company operates in the digital currency blockchain segment, and its crypto-currency machines are located in Canada, while its headquarters are in Las Vegas, Nevada.
Continue below to see MARA stock price trends, news and forecasts.
MARA Stock Price
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MARA shares have had a fantastic 2021 so far, gaining over 240% despite a significant fall in April and May. At the same time, Bitcoin’s price fell below $29,000. Before the decline, MARA shares reached an intraday and all-time high of $57.75.
Another less significant fall in Bitcoin’s price has seen Marathon’s share price slide in the second week of September 2021, and it has recently bounced off a key level. However, it still has a way to go before reaching its all-time intraday high.
Other cryptocurrency mining companies compete with Marathon. The most similar to Marathon is Riot Blockchain (NASDAQ: RIOT). As of August 31, Riot held approximately 3,128 BTC, while Marathon held 6,695 BTC at the end of August. Marathon’s current market cap is $3.46 billion, and Riot’s is $2.77 billion. With Marathon having over double the amount of Bitcoin, its shares are priced more favorably.
MARA Stock Forecast
MARA’s shares move based primarily on the movement in Bitcoin, as you can see below.
Bitcoin is a crucial factor in understanding where MARA’s stock may be heading.
B. Riley analyst Lucas Pipes has a favorable view on the stock, recently upgrading the firm’s price target to $87 from $54, keeping a Buy rating. Pipes increased his estimate for crypto mining companies in general, believing that a higher Bitcoin price and lower network hashrate for the company will see its shares rise towards the target. However, he did state that the majority of Chinese miners that were taken offline during the summer due to the country’s crackdown on crypto mining will be re-domiciled by the middle of 2022.
While Bitcoin continues higher from a recent fall, it is hard not to be positive on MARA shares, especially given the backdrop of China clamping down on crypto miners in the country.
MARA Stock News
Along with its Bitcoin production news, Marathon has made several other announcements in recent weeks:
- At the beginning of September, Marathon announced a new collaboration with NYDIG to provide members of Marathon’s Bitcoin mining pool access to NYDIG services for Bitcoin miners.
- Later in the month, MARA provided its Bitcoin production update, showing it produced 469.6 new minted Bitcoins in August, increasing its total Bitcoin holding to 6,695. As of September 1, Marathon had produced 1,757.9 Bitcoin and had a total liquidity (cash and Bitcoin holdings) of $387.3 million.
- DMG Blockchain Solutions (OTCQB: DMGGF) became the first Canadian miner to join Marathon’s mining pool.
In addition, MARA also released its second-quarter earnings report in August, reporting revenue for the quarter at $29.3 million, below the consensus of $36.37 million. The company produced 654 Bitcoins in the quarter. Marathon’s investment fund purchased around $150 million of BTC in January 2021, with the value of those Bitcoin increasing $16.9 million during the first 6 months of the year. Marathon’s earnings per share for the quarter came in above estimates at $0.21.
You can keep up to date with Marathon’s latest news by adding the stock to your watchlist.
How to Buy MARA Stock
If you have bought shares of Marathon or any other company before, you log in to your brokerage and execute a trade. However, if you have not yet opened a brokerage account, you can follow the steps below.
Find a brokerage.
A broker acts as the go-between for you and the stock exchange. The broker buys and sells shares based on the orders from its customers. For example, in this case, you may instruct your broker to buy 100 shares of MARA stock at a specific price. The broker may receive a commission, but each broker’s fees and commissions will vary.
The majority of brokers should offer MARA shares, but you still need to research the broker you are interested in and make sure it is regulated and you understand the fees it charges. Another option is to scroll lower down this page and look at the best online brokers for MARA stock.
Calculate the number of shares to buy.
Once you have chosen a broker and set up and funded your account, you need to evaluate how many shares you want to buy. The amount you buy depends on factors such as the money you have in your account, the level of risk you take on for the stock and what percentage of your portfolio will be made up of MARA shares.
Taking your time and laying out a plan on how to execute the position is vital. It may also be beneficial for you to start with a small number of shares and build a more significant holding over time.
Pick the order type.
Now that you know the number of shares you want to buy, the next step is to pick the order type. You may wish to choose a market order or a limit order.
A market order is filled at the current price. Choosing this order type offers means it is highly likely your order will be filled. For example, if you decide to buy MARA shares using a market order and the current buy price is $36, your order will likely be filled at $36.
A limit order allows you to pick a price of your choosing. However, the order will only be filled if the price reaches that level or falls below it. The benefit of a limit order is that you have a position at your preferred price. The negative is that the stock price may never reach that level and your order will be left unfilled.
Click buy and submit.
Now you have filled out all of the details correctly (re-read them to make sure), all that is left is to click the “submit “ or “buy” button at the bottom of the trade ticket. If your order is filled, you should be notified by your broker. Alternatively, you can check your account to view the shares and performance of the position.
Best Online Stock Brokers for MARA Stock
Most stockbrokers should offer MARA shares because they are listed on the Nasdaq, a major exchange. However, some brokers may not. If so, you can view a table of the best online stock brokers for MARA shares below.
MARA on Benzinga Pro
Screenshot taken from Benzinga Pro on 09-17-2021
When looking at a daily chart from September 17, MARA’s share price is still above its 50-day moving average, which is holding firm, while the Relative Strength Index (RSI) is just below 50 and continuing to move lower. Should the share price continue lower, then a move below the 30 level on the RSI would mean it is considered by many traders to be oversold.
The price movement for Bitcoin (BTCUSD) looks very similar to the MARA chart, and it is likely to be a primary driver in how Marathon shares move.
While the change in Bitcoin’s value heavily impacts Marathon’s share price movement, other factors such as its mining ability also affect its valuation. Watch out for news such as the purchase of new mining machines, downtime in the machines and its Bitcoin production.
If you want exposure to Bitcoin but don’t want to buy the cryptocurrency itself, then Marathon shares could be considered.
Frequently Asked Questions
What is Marathon?
Defined as a digital asset technology company, Marathon is a cryptocurrency mining company that primarily mines Bitcoin. The company was founded in 2010 and has its headquarters in Las Vegas, Nevada.
How many Bitcoin does Marathon mine?
As of September 1, 2021, Marathon has mined around 1,757.9 Bitcoins during the year, meaning the company held around 6,695 BTC on that date. August has been the best month so far for the company in 2021 after it mined around 469.6 BTC.