Bitcoin miners are experiencing intensified competition from AI data centers for inexpensive, sustainable energy, which could stimulate a new influx of institutional investment in the mining sector over the next decade. With significant capital, AI data centers are beginning to outbid miners for power, leading some mining firms to either deprioritize operations or get 'priced out'. However, Bitcoin miners hold an advantage due to their ability to expand into off-grid locations lacking high-speed internet. This rivalry for energy access is likely to catalyze institutional investment, as firms seek cheaper, 'virgin' Bitcoin instead of paying higher spot market prices. The average production cost of Bitcoin is projected to exceed $70,000 by year-end, significantly lower than current market prices, making mining investments appealing. Some miners are pivoting to AI operations, while others are innovating within Bitcoin mining to reduce operational costs and extend equipment lifespan. Industry experts predict a resurgence in institutional interest in Bitcoin mining as these dynamics unfold.

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