Bitcoin (BTC-USD) mining stocks seem to have bottomed out post the approval of U.S. spot bitcoin exchange-traded funds last month, as per a recent note by Bernstein. The note strongly recommends purchasing their preferred stock options – Riot Platforms (NASDAQ:RIOT) and CleanSpark (NASDAQ:CLSK) – before the upcoming bitcoin halving event.

Earlier this week, bitcoin (BTC-USD) broke out of a three-week consolidation zone, and its gains extended to over $47K on Friday. Over the past five sessions, bitcoin has surged by 10.3%. Consequently, BTC miners and other crypto-related stocks, which are viewed as high-beta versions of the underlying token, also saw an upswing.

Analyst Gautam Chhugani emphasized that the price of bitcoin typically rises after a halving, where the reward for BTC miners is halved. The next halving event is anticipated to occur around April 2024.

“This time, Bitcoin’s price action appears stronger before the halving, and in our perspective, this momentum is likely to be sustained throughout the year,” the Thursday note highlighted.

Overall, “considering the positive ETF flows momentum, resilient BTC price action, and healthy miners adding capacity into the halving, we feel confident in recommending investors to position themselves in the Outperform-rated Riot (RIOT) and CleanSpark (CLSK),” the note summarized.