Marathon reports $1.3B Q1 loss as Bitcoin price drop cuts revenue by $35M amid rising costs.

Marathon Holdings posted a $1.3 billion net loss in Q1 2026, driven by an 18% decline in Bitcoin prices which reduced revenue by $35 million. Despite a 33% increase in mining hashrate, rising operating costs and unfavorable Bitcoin mark-to-market adjustments worsened losses. The company sold $1.5 billion in Bitcoin to reduce debt by 30% and pivot towards AI infrastructure, reflecting a strategic shift amid tighter crypto mining margins. Marathon ended the quarter holding over 35,000 Bitcoins valued at about $2.4 billion, signaling confidence in Bitcoin as a reserve asset despite current challenges.