Cipher, Coinbase and MicroStrategy lead crypto stock surge following bitcoin's bounce back
The rise in bitcoin spilled over into a huge day for cryptocurrency-related stocks on U.S. indices Monday.
Crypto miners did particularly well on Monday. Cipher Mining's stock (CIFR) led the way, closing up more than 27%, followed by Marathon Digital (MARA), Hut 8 (HUT), Riot Platforms (RIOT) and Cleanspark (CLSK), which all rose between 15% and 19% on the day.
Bitcoin BTC +3.91% 's price, which had been trading under $60,000 for much of the past 10 days, rebounded to break the $63,000 level early Monday morning after former U.S. President Donald Trump survived an assassination attempt on Saturday. Late Monday afternoon, Trump chose crypto-friendly Sen. J.D. Vance as his running mate for the 2024 presidential election.
BlackRock CEO Larry Fink also gave cheer to the sector when he said bitcoin is a " legitimate financial instrument ."
Coinbase's stock (COIN) closed up more than 11% at $242.85 per share, its highest level in a month. JMP Managing Director Director of Financial Technology Research Devin Ryan said there's a lot more upside ahead for the stock.
MicroStrategy's stock (MSTR) traded higher by 15.3% to $1,623. Last week, the business intelligence firm and corporate bitcoin holder announced a 10-for-1 stock split , effective Aug. 1.
As for bitcoin mining stocks, their added boost on the first trading day of the week came from analysts at Berstein.
“The Goldilocks scenario for bitcoin mining is emerging: greater chances of pro-bitcoin political change, U.S emerging the dominant hub for bitcoin mining and latest generation mining chips, miners being valued for their lead in power interconnect, and miners emerging as strong partners for AI data centers,” Gautam Chhugani and Mahika Sapra wrote in a note to clients on Monday.
The lone bitcoin miner to close the day in the red was Iris Energy (IREN), which fell 2.56%. The stock took a big hit last week after a short-seller published a negative thesis on its valuation.
At the time of publication, bitcoin was up 5.6% to $63,743 according to The Block's price page. The GMCI 30 , which tracks the 30 largest cryptocurrencies by market cap, was 4.9% to 132.12.
