The industry of digital asset will never be the same. As Bitcoin's value expected to rise in near future, Donald Trump as the elected president of the Unites States is also seen to be supportive by promising to create a better cryptocurrency environment.
Bitcoin is nearing $100,000 per piece and the rally is expected to continue due to mixed factors from higher adoption from big players like trust funds, evolving and enhancing blockchain technology, to the speculations among retail and institutional traders.
Meanwhile the president-elect Donald Trump has an ambitious crypto agenda of making the U.S. as the “crypto capital of the world” by promising to change the regulatory to be more friendly for crypto transactions in the future. The combo of the expected raising value of Bitcoin as the father of all cryptocurrencies and more crypto-friendly policies will give an unprecedented wild ride for broader cryptocurrency market and related stocks.
Here are several stocks that are poised to get boons from the Bitcoin boom:
MicroStrategy (MSTR, Financial)
MSTR is basically a business analytics software company that is known for its significant Bitcoin holdings. MSTR's stock price is pegged to the Bitcoin's performance heavily.
Coinbase stands as one of the largest cryptocurrency exchanges. With higher trading interest during crypto currency boom, Coinbase largely benefited from the transaction fees it gets from the increasing trading volumes.
Riot Blockchain (RIOT, Financial)
RIOT is a major player in Bitcoin mining, they simply earn Bitcoin with lower price than just purchasing it. With higher demand in Bitcoin, their mining services will generate more income.
MARA Holdings (MARA, Financial)
Previously known as Marathon Digital Holdings but rebranded itself into MARA Holdings to show its commitment to its Bitcoin mining activities. Analysts buzzed around mining companies and speculated that they will gain more during crypto boom.
Hut 8 is another Bitcoin mining company that has just surpassed its 52-week high. Its substantial growth in price aligned with the rising interest in cryptocurrencies.
Nvidia has no crypto exchange business or Bitcoin mining activities, but its graphics processing units (GPUs) are essential for cryptocurrency mining and its products are better powering the higher transaction volume in exchange companies. And that will translate to higher demand for Nvidia's products.
PayPal Holdings (PYPL, Financial)
PayPal is now involving itself into cryptocurrency trading by allowing its users to buy, sell, and hold cryptocurrencies like Bitcoin, Bitcoin Cash, Ethereum, and Litecoin directly through their platform. PayPal even launched its own stablecoin that is pegged to USD called PayPal USD with symbol PYUSD.
Block Inc was formerly known as Square, Inc is now actively involved in the cryptocurrency space through its products like Cash App, Spiral, Tidal and more. Cash App is a feature that allows users to buy, sell, and hold cryptocurrencies, and Spiral is a Bitcoin open-source project for everyday transactions, while Tidal is a music streaming platform that receive cryptocurrency payments.
These stocks have various ways to gain exposure from the anticipated crypto boom; quoting from exchange services, charging transaction fees, charging fees for mining activities, and selling GPUs to support those activities.
With better regulatory environment and anticipated higher price in cryptocurrencies, these stocks are poised to skyrocket.
