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Bernstein analyst Gautam Chhugani initiated protection on Core Scientific (NASDAQ:CORZ) and Iris Power (NASDAQ:IREN) with an Outperform ranking in a latest word on the view that bitcoin (BTC-USD) miners are ideally suited collaborators for developing AI knowledge facilities due to their energy infrastructure and operational capabilities.
Recall final month when Core Scientific (CORZ) shares surged after signing a sequence of 12-year contracts with AI hyperscaler CoreWeave which can be anticipated to generate greater than $3.5B of income throughout that interval.
Iris Power (IREN), meantime, has a strong energy pipeline, and Chhugani expects some 15% of the corporate’s energy capability to pivot to AI knowledge facilities.
General, miners management about six gigawatts of energy entry with a pipeline of up to 12 gigawatts by 2027, the word stated. “Bitcoin data centers are ideal for retrofit due to high power density racks, cooling infrastructure and general data center operating capabilities,” the analyst stated, including “we expect 20% of bitcoin miner’s power capacity to pivot to AI by 2027 end.”
Chhugani reiterated his case for a “long term bitcoin structural uptrend led by growing institutional adoption.” He sees the token reaching $200K by the top of 2025. “We believe AI revenue line provides a downside floor to the miners, with Bitcoin driving cyclical upside,” he stated.