The analysis highlights a significant divergence between Bitcoin (BTCUSD) and publicly traded Bitcoin miners. Historically, miners like MARA, DMGI, and HIVE have outperformed Bitcoin during bull markets due to direct revenue ties. However, since 2020, and particularly following the Bitcoin halving in April 2024, increased mining difficulty and reduced block rewards have led to a compression in miner profitability. Bitcoin mining difficulty has aggressively risen, doubling in the past year, increasing the cost to earn BTC. Concurrently, the halving event cut block rewards from 6.25 BTC to 3.125 BTC, effectively halving miner revenue. For instance, a block reward before halving (with BTC at $70,000) was worth $437,000, but after halving (with BTC at $92,000), it's only $287,000. This revenue squeeze has caused mining stocks to underperform Bitcoin. A new opportunity is emerging as Bitcoin miners leverage their existing energy infrastructure—large grid-connected sites with massive computing and cooling systems—for high-demand applications like Artificial Intelligence (AI) and High-Performance Computing (HPC). AI data centers are experiencing explosive growth, with power consumption surging nearly fourfold in the last decade to 23 gigawatts and projected to reach 35 gigawatts by 2030. The US power grid is not expanding fast enough to meet this demand, creating a bottleneck that Bitcoin miners are uniquely positioned to address. Companies like Riot Platforms (RIOT) are exploring transitioning existing capacity to AI. This pivot offers a more stable and predictable revenue stream: AI hosting can generate approximately $1.8 million per megawatt per year, compared to Bitcoin mining's $1.2 million per megawatt per year. Miners are adopting a dual strategy, reallocating capacity between Bitcoin mining and AI workloads based on profitability. This strategic diversification has led to a repricing of AI-integrated mining stocks, with an index of such companies reaching new all-time highs, even as Bitcoin showed weakness. The broader outlook for Bitcoin remains constructive, and continued growth in both the crypto and AI sectors is expected to provide further tailwinds for these diversified mining companies, projecting continued upward repricing for these stocks.