United States-based Bitcoin miner Crusoe Energy is wrapping up its Bitcoin mining business as it plans to shift focus towards the artificial intelligence sector.

According to a recent press release, Crusoe will sell 425 of its modular data centers— spanning sites across Colorado, North Dakota, Montana, Wyoming, New Mexico, Utah, Texas, and Argentina — with a combined 270 megawatts of power generation capacity, to the New York Digital Investment Group.

The deal also includes its Digital Flare Mitigation business, and around 135 employees will transition to NYDIG.

“Our innovative approach to energy utilized for mining is uniquely complementary to NYDIG’s bitcoin custody, institutional trading and mining businesses, creating a consolidated business that is more valuable than the sum of its parts,” Chase Lochmiller, CEO and co-founder of Crusoe, said regarding the acquisition.

NYDIG, which already has a strong presence in Bitcoin custody, trading, and mining, plans to continue operating and investing in the newly acquired business. In a separate announcement, the firm said the move will help support Bitcoin’s proof-of-work mechanism and contribute to the network’s long-term security.

Founded in 2018, Crusoe Energy was among the first U.S. Bitcoin mining firms to harness wasted natural gas to fuel the high-performance computing needed for both crypto mining and AI workloads. 

Now, the company says it’s ready to shift gears and focus on scaling its AI infrastructure.

“We will continue to channel the same energy-first mentality towards scaling AI infrastructure and accelerating the adoption and proliferation of AI in our everyday lives,” Lochmiller added.

Signs of a transition to AI had already emerged in 2024, when Crusoe announced a multibillion-dollar deal with energy tech firm Lancium to build a 200-megawatt AI data center in Abilene, Texas.

Touted as the “first phase” of a larger expansion, the facility was set to tap into up to 1.2 gigawatts of clean power and support GPU clusters designed for AI training and inference at scale.

At the time, Lochmiller called the project a unique opportunity to “sustainably power the future of AI.” Although a specific launch date wasn’t confirmed, the facility was expected to go live in 2025.

Crusoe’s transition to AI comes at a time when the U.S. government is also turning its attention to the sector. Since returning to office in 2025, President Donald Trump has signed an executive order aimed at encouraging American leadership in artificial intelligence.

Bitcoin’s market structure is evolving, and its once-predictable four-year cycles may no longer hold the same relevance. In a recent conversation with Matt Crosby, lead analyst at Bitcoin Magazine Pro, Mitchell Askew, Head Analyst at Blockware Solutions, shared his perspective on how Bitcoin ETFs, mining advancements, and institutional adoption are reshaping the asset’s price behavior.

Watch the Full Interview:

According to Askew, Bitcoin’s historical pattern of parabolic price increases followed by steep drawdowns is changing as institutional investors enter the market. At the same time, the mining industry is becoming more efficient and stable, creating new dynamics that affect Bitcoin’s supply and price trends.

Bitcoin’s Market Cycles Are Fading

Askew suggests that Bitcoin may no longer experience the extreme cycles of past bull and bear markets. Historically, halving events reduced miner rewards, triggered supply shocks, and fueled rapid price increases, often followed by corrections of 70% or more. However, the increasing presence of institutional investors is leading to a more structured, macro-driven market.

He explains that Spot Bitcoin ETFs and corporate treasury allocations are bringing consistent demand into Bitcoin, reducing the likelihood of extreme boom-and-bust price movements. Unlike retail traders, who tend to buy in euphoria and panic-sell during downturns, institutions are more likely to sell into strength and accumulate Bitcoin on dips.

Askew also notes that since Bitcoin ETFs launched in January 2024, price movements have become more measured, with longer consolidation periods before continued growth. This suggests Bitcoin is beginning to behave more like a traditional financial asset, rather than a speculative high-volatility market.

The Role of Bitcoin Mining in Price Stability

As a mining analyst at Blockware Solutions, Askew provides insight into how Bitcoin mining dynamics influence price trends. He notes that while many assume a rising hash rate is always bullish, the reality is more complex.

In the short term, increasing hash rate can be bearish, as it leads to higher competition among miners and more Bitcoin being sold to cover electricity costs. However, over the long term, a rising hash rate reflects greater investment in Bitcoin infrastructure and network security.

Another key observation from Askew is that Bitcoin’s hash rate growth lags behind price growth by 3-12 months. When Bitcoin’s price rises sharply, mining profitability increases, prompting more capital to flow into mining infrastructure. However, deploying new mining rigs and setting up facilities takes time, leading to a delayed impact on hash rate expansion.

Why Mining Profitability Is Stabilizing

Askew also highlights that mining hardware efficiency is reaching a plateau, which has significant implications for miners and Bitcoin’s supply structure.

In Bitcoin’s early years, new mining machines offered dramatic efficiency improvements, forcing miners to upgrade hardware every 1-2 years to remain competitive. Today, however, new models are only about 10% more efficient than the previous generation. As a result, mining rigs can now remain profitable for 4-8 years, reducing the pressure on miners to continuously reinvest in new equipment.

Electricity costs remain the biggest factor in mining profitability, and Askew explains that miners are increasingly seeking low-cost power sources to maintain long-term sustainability. Many companies, including Blockware Solutions, operate in rural U.S. locations with stable energy prices, ensuring better profitability even during market downturns.

Could the U.S. Government Start Accumulating Bitcoin?

Another important discussion point raised by Askew is the potential for a U.S. Strategic Bitcoin Reserve (SBR). Some policymakers have proposed that the U.S. government accumulate Bitcoin in the same way it holds gold reserves, recognizing its potential as a global store of value.

Askew explains that if such a reserve were implemented, it could create a massive supply shock, pushing Bitcoin’s price significantly higher. However, he cautions that government action is slow and would likely involve gradual accumulation rather than sudden large-scale purchases.

Even if implemented over several years, such a program could further reinforce Bitcoin’s long-term bullish trajectory by removing available supply from the market.

Bitcoin Price Predictions & Long-Term Outlook

Based on current trends, Askew remains bullish on Bitcoin’s long-term price trajectory, though he believes the market’s behavior is shifting toward more gradual, sustained growth rather than extreme speculative cycles.

Bitcoin Price Targets for 2025:

• Base Case: $150K – $200K
• Bull Case: $250K+

Long-Term (10-Year) Forecast:

• Base Case: $500K – $1M
• Bull Case: Bitcoin flips gold’s $20T market cap → $1M+ per BTC

Askew sees several key factors driving Bitcoin’s price over the next decade, including:
Steady institutional demand from ETFs and corporate treasuries.
Reduced mining hardware upgrades, leading to a more stable industry.
Potential government involvement in Bitcoin reserves.
Macroeconomic conditions such as interest rates, inflation, and global liquidity cycles.

He emphasizes that as Bitcoin’s market structure matures, it may become less susceptible to sharp price swings, making it a more attractive long-term asset for institutions.

Conclusion: A More Mature Bitcoin Market

According to Askew, Bitcoin is undergoing a structural shift that will shape its price trends for years to come. With institutional investors reducing market volatility, mining innovations improving efficiency, and potential government adoption, Bitcoin’s market behavior is beginning to resemble that of gold or other long-term financial assets.

While dramatic parabolic runs may become less frequent, Bitcoin’s long-term trajectory appears stronger and more sustainable than ever. Askew’s perspective reinforces the idea that Bitcoin is no longer just a speculative asset—it is evolving into a key financial instrument with increasing global adoption.

If you’re interested in more in-depth analysis and real-time data, consider checking out Bitcoin Magazine Pro for valuable insights into the Bitcoin market.

Disclaimer: This article is for informational purposes only and should not be considered financial advice. Always do your own research before making any investment decisions.

Canadian Bitcoin miner Bitfarms has finalized the acquisition of Stronghold Digital Mining, marking the largest-ever merger between two publicly listed Bitcoin mining companies.

According to a press release published on March 17, Bitfarms has completed the all-stock acquisition of Stronghold Digital Mining. The merger was approved on Feb. 28, with 99.6% of votes cast voting in favor, representing about 54.5% of Stronghold’s outstanding shares.

Bitfarms acquired Stronghold through a stock-for-stock merger, with Stronghold shareholders receiving 2.52 Bitfarms shares for each Stronghold share they owned. Nearly 60 million Bitfarms shares and over 10.5 million warrants were issued as part of the deal. Stronghold’s stock was removed from Nasdaq and stopped trading.

Bitfarms’ stock opened higher Monday morning but lost any buying momentum and was trading lower by around 1% during the early afternoon session.

Details of the acquisition

With Stronghold now fully integrated into Bitfarms, the mining giant has expanded its energy capacity to 623 megawatts — including existing power generation and grid import capacity in Pennsylvania.

Additionally, Bitfarms now manages nearly 1 more Exahash of computing power, bringing its total to 18 Exahash. A previous agreement where Stronghold hosted miners for others is now being used for Bitfarms’ direct mining operations.

Bitfarms also sees potential to convert two Stronghold power sites into large-scale AI and computing hubs, with plans to partner with industry players to develop these facilities.

“With Stronghold’s portfolio of power assets, combined with our operational expertise and balance sheet strength, we are well positioned to create long-term value for our shareholders by executing on our US strategy and developing an HPC/AI business geared for scale, ” said Ben Gagnon, Chief Executive Officer of Bitfarms.

In addition to increasing its power assets, the acquisition has boosted Bitfarms’ share of the North American energy market from 6% to 80%.