- US crypto stocks continue to rally as Bitcoin crosses $84,000.
- The crypto market added $400 billion in value last week.
- Donald Trump’s victory continues to invigorate the market.
US crypto stocks surged on Monday as the cryptocurrency market heads toward its peak valuation above $3 trillion — buoyed by Bitcoin skyrocketing to a new $84,000 high.
The market’s largest digital currency has gained 94% this year.
Bradley Duke, head of Europe at crypto fund manager Bitwise, told DL News that Donald Trump’s election win is driving the surge.
“Investors see the Trump victory as a strong tailwind for crypto expecting it will usher in a golden age of crypto,” Duke said.
The Bitwise executive identified investor expectations of pro-crypto regulations and other campaign promises made by President-elect Trump as reasons for the excitement.
Stocks pumping
Coinbase’s stock price is up over 18% and has risen over 102% year-to-date.
MicroStrategy, the company with the largest Bitcoin balance sheet of more than $1.8 billion, also surged 19% on Monday. The company’s stock price has grown a whopping 369% this year.
Bitcoin mining stocks also rose on Monday. Hut 8 rallied 22% while Canaan rose 41%. Canaan’s surge on Monday comes after a significant negative close last Friday which saw its stock drop 14%.
Other miners including Riot and Marathon also rallied before the bell on Monday, surging 17% and 20%, respectively.
The uptick in crypto stocks comes amid a bullish crypto market advance with $400 billion added to the cryptocurrency market value in the last week.
Andre Dragosch, head of research at Bitwise Europe, noted that speculation that nation-states plan to build up strategic Bitcoin reserves have also contributed to Bitcoin’s recent runup.
Meanwhile, institutional investors continue to pile into US spot Bitcoin exchange-traded funds.
Inflows reached $1.4 billion on Thursday ― the highest-ever daily flow recorded for Bitcoin ETFs in the US, according to SoSoValue.
While analysts say retail is still shying away from the market, some observers have pointed to onchain indicators that have signalled their return.
Data from crypto analytics platform 10x Research shows an increase in short-term crypto holders for the first time since April.
That increase has also corresponded to an uptick in trading activity on centralised exchanges with daily volume reaching $310 billion, CoinGecko data shows.
Osato Avan-Nomayo is our Nigeria-based DeFi correspondent. He covers DeFi and tech. To share tips or information about stories, please contact him at osato@dlnews.com.
