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3 Crypto Stocks to Watch for Bitcoin’s Bull Run
Bitcoin (BTC) price gained momentum in 2021 due to institutional adoption, but took a hit in 2022 due to regulatory and environmental issues. However, Bitcoin has had a prodigious 2023, with the price of the flagship cryptocurrency rising 157%. The bullish momentum continued into 2024, with Bitcoin’s price crossing the $60,000 mark in early March and surpassing the $71,000 mark in early May.
The Federal Reserve official’s recent concerns about price pressures, with many hesitant to cut interest rates soon, unfortunately dampened the price of Bitcoin on May 22nd. Bitcoin is trading slightly above the $69,000 mark, but cryptocurrency market enthusiasts expect the bull run to continue as long as the price does not surpass this level.
The price of Bitcoin has already risen more than 50% this year, easily outpacing stocks and bonds. And the upward trajectory is set to last especially due to the regulatory approval of 10 spot Bitcoin ETFs in January. Morningstar Direct confirmed that the 10 spot Bitcoin ETFs saw net inflows of $7 billion through the end of February.
Thanks to regulatory approvals, retail and institutional investors have gained exposure to the world’s number one cryptocurrency through brokerage accounts. This has legitimized Bitcoin’s status as a credible asset class, which should help its price rise in the near future. Spot ether ETF probability is also expected to drive Bitcoin’s rally. The SEC has asked exchanges that plan to list ether ETFs to update their 19b-4 filings.
Additionally, strong bipartisan support recently helped the House of Representatives pass a landmark cryptocurrency bill. Nearly all Republicans and 71 Democrats voted in favor of the cryptocurrency legislation, a telltale sign of Washington’s confidence in the trustworthiness of the digital asset industry. The Biden administration’s change in stance undoubtedly bodes well for the price of Bitcoin and other digital currencies.
Therefore, as things appear to be going well for Bitcoin, astute investors should keep an eye on stocks that can make the most of Bitcoin’s relentless bull run. Some of the big names are Block, Inc. SQ, Coinbase Global, Inc. MONEY e NVIDIA Corporation NVDA.
Digital payments company To block generates revenue from products like Cash App. In this platform, Bitcoin is bought and sold. Block can substantially increase its customer base and increase profit margins. The block currently carries a Zacks Rank of #1. 3 (keep). You can see the complete list of today’s Zacks #1 (Strong Buy) stocks here.
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The Zacks Consensus Estimate for Block’s current-year earnings has moved 2% higher over the past 60 days. Block’s forecast earnings growth rate for the current year is 73.9%. The estimated revenue growth rate for the current year is 15.1%.
CoinBase is a cryptocurrency trading platform where various digital assets are traded, including Bitcoin. Coinbase currently has a Zacks Rank of #1. 1.
The Zacks Consensus Estimate for Coinbase’s current-year earnings has moved 357.3% higher over the past 60 days. Coinbase’s forecast earnings growth rate for the current year is 1,840.5%. The estimated revenue growth rate for the current year is 83.5% (read more: 2 stocks in Cathie Wood’s portfolio to watch now).
Semiconductor giant NVIDIA is designing GPUs for mining cryptocurrencies like Bitcoin. NVIDIA recently reported first-quarter earnings results, ending April 28, 2024, that shattered Wall Street’s expectations. NVIDIA currently has a Zacks Rank of #1. 1.
The Zacks Consensus Estimate for NVIDIA’s current-year earnings has moved 2.5% higher over the past 60 days. NVIDIA’s forecast earnings growth rate for the current year is 89.2%. The estimated revenue growth rate for the current year is 77.7%.
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NVIDIA Corporation (NVDA) – Free stock analysis report
Block, Inc. (SQ) – Free stock analysis report
Coinbase Global, Inc. (COIN) – Free stock analysis report