WSB Update For Wednesday - Best Bitcoin Miner Pick - SPRT, MARA, RIOT, NCTY, COIN

The Bitcoin miners all had a great day on Wednesday as Bitcoin has stabilized around $55,000 and COIN around $300. MARA, RIOT and NCTY all had rebounds in the 10% range. Call options remain the best play on these stocks in order to try to create a gamma squeeze on the shorts and option writers. 

But one miner that is falling under the radar and has the greatest upside is SPRT. Like the other Bitcoin miners it was up about 10% today, closing at its day high of $4.02. It should be trading in the $8 area just to come in line with the valuation of other Bitcoin mining stocks, and higher if they move back up to their 52-week highs as Bitcoin rises again. SPRT signed a deal to merge with Greenidge, a Bitcoin miner with its own source of power. The Greenidge presentation shows how it is comparable or superior to other top publicly traded Bitcoin miners out there:


There are two articles on Seeking Alpha about this deal, both of which calculate a 2-3x upside for SPRT just to come in line with RIOT's valuation once the merger with Greenidge is complete:

https://seekingalpha.com/article/4418859-greenidge-generation-holdings-stock-minimal-downside-165-percent-upside

https://seekingalpha.com/article/4418378-support-stock-profitable-bitcoin-miner-greenidge-available-at-discount


The first article includes this chart that clearly outlines a good argument for SPRT to be in the $8-$10 range based on RIOT's market cap of around $4 billion. 

SPRT also makes a decent short squeeze candidate as the date of the deal with Greenidge nears. SPRT has 23.6 million shares outstanding and 2.3 million shares short for a short interest of about 10%. Buying the stock as well as the $4 and $5 strike May calls are the best plays to try to create a squeeze. 

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