As a result of bear markets, White Rock Management CEO Andy Long believes crypto mining companies have the opportunity to expand via mergers and acquisitions.

The CEO of one of the world’s largest crypto mining companies told Cointelegraph that despite the current volatility, companies with great balance sheets will continue to do well in this bear market.

“He noted that while miners who leveraged at the top of the market face challenges, they have been here before, and those who are well capitalized and efficient will do just fine.”

According to Long, such companies will have the opportunity to acquire others amid the current bear trend, as they have shown investors that they can cope with extreme market conditions:

“We expect to see increasing mergers and acquisitions in the mining sector involving both public and private companies – as economies of scale are realized and complementary operations are combined.”

“Additionally, network growth will pick up again, not to the level forecast at the end of the year, but we’ll probably be at least 20% higher by the end of the year,” he explained.

Aside from the ongoing heatwave, Long noted that the mining sector in Texas is doing well. During the past few months, the sector has effectively coordinated with the Electric Reliability Council of Texas (ERCOT) to resolve energy supply issues:

“Texas is experiencing a lot of activity and the mining sector is doing well. We expect continued growth across the state as grid-connected miners provide demand response during challenging weather.”

Based out of Switzerland, White Rock is a crypto mining company that claims to have around 24 MegaWatts of capacity.

Texas is the first state in the U.S. where the firm is planning to expand its operations. Natural Gas Onsite Neutralization (NGON) partnered with White Rock to conduct mining operations at its facility, which used “environmentally responsible” methods.

Heat waves in Crypto Market

Following well over 100-degree temperatures in Texas in June, mining companies such as Riot Blockchain and Core Scientific shut down parts of their operations to reduce energy grid stress.

As a result of the heat wave, both of them were proactive in easing the pressure on Texas’ energy supply. However, energy prices soared as a result of both factors.

Consequently, mining productivity was reduced for the firms. It is expected that since BTC has gained 14.7% over the past month and the temperatures will drop slightly to around the 90-degree mark, miners will return to mining after switching their machines off over the past month.

Crypto-mining analyst Jaran Mellerud told Bloomberg on Aug. 5 that Bitcoin’s price increase has made mining more profitable, and some miners have plugged in their machines again since June and July.

The price of Bitcoin is sitting at $23,088 and ICON is sitting at $ 0.335070 at the time of writing.