{"id":37468,"date":"2023-07-18T21:26:28","date_gmt":"2023-07-19T01:26:28","guid":{"rendered":"https:\/\/ifintechworld.com\/investing\/why-some-crypto-stocks-have-surged-up-to-400-this-year-outperforming-bitcoin\/"},"modified":"2023-07-18T21:26:29","modified_gmt":"2023-07-19T01:26:29","slug":"why-some-crypto-stocks-have-surged-up-to-400-this-year-outperforming-bitcoin","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=37468","title":{"rendered":"Why some crypto stocks have surged up to 400% this year, outperforming bitcoin"},"content":{"rendered":"
\n

Several crypto-related stocks and funds have staged a spectacular rally this year, outperforming major cryptocurrencies, despite U.S. regulators\u2019 ongoing scrutiny of the industry.\u00a0\u00a0<\/p>\n

Crypto exchange Coinbase
\n COIN,
\n -0.91%<\/bg-quote>
\n shares rallied over 190% so far this year, and MicroStrategy
\n MSTR,
\n -0.91%<\/bg-quote>,<\/span>
\n which holds more than $4 billion bitcoin on its balance sheet, saw its shares up more than 210% year-to-date, according to Dow Jones Market Data.\u00a0<\/p>\n

\n

Read: <\/strong>Cathie Wood\u2019s ARK funds dump millions more in Tesla and Coinbase stocks<\/p>\n

Crypto miner Marathon Digital holdings
\n MARA,
\n -2.61%<\/bg-quote>
\n shares traded up 390% year-to-date, and Ebang International\u2019s
\n EBON,
\n +4.90%<\/bg-quote>
\n stock jumped 260%. Riot Platforms
\n RIOT,
\n -1.08%<\/bg-quote>
\n shares went up almost 440% so far this year.\u00a0<\/p>\n

Grayscale Bitcoin Trust
\n GBTC,
\n -1.05%<\/bg-quote>
\n advanced more than 140% year-to-date.\u00a0<\/p>\n

Such gains overshadowed that of bitcoin, which posted a rally of more than 80% so far this year. Both bitcoin and many crypto-related stocks are still well below their record highs. <\/p>\n

Analysts attributed the outperformance of crypto stocks and funds versus bitcoin to their higher volatility, previous oversold conditions and increased institutional adoption of digital assets. <\/p>\n

Crypto-related stocks tend to outperform major tokens during an upward trend, and underperform in a downtrend, analysts at Alliance Bernstein led by Gautam Chhugani wrote, in a recent note.\u00a0<\/p>\n

In 2022, crypto mining stocks on average lost more than 90%, while bitcoin recorded an over 60% loss, according to the analysts.\u00a0<\/p>\n

\u201cThe market consensus is that bitcoin
\n BTCUSD,
\n +0.65%<\/bg-quote>
\n and ethereum
\n ETHUSD,
\n +0.61%<\/bg-quote>
\n prices serve as the main indices, and other crypto assets, such as ETFs, Grayscale\u2019s GBTC, or public crypto miner stocks, trade based on these benchmark indices,\u201d Youwei Yang, chief economist at crypto mining coming BIT Mining, wrote in emailed comments.\u00a0<\/p>\n

\u201cTherefore, the recent crypto price rally provided an opportunity for these stocks to rebound and generate higher returns,\u201d Yang wrote.\u00a0<\/p>\n

The rally in shares of crypto companies this year also comes as institutional interests in the crypto space mount, noted Jeff Dorman, chief investment officer at Arca. Last month, led by BlackRock
\n BLK,
\n +1.52%<\/bg-quote>,<\/span>
\n several asset managers filed applications for spot bitcoin exchange-traded products, which, if approved, could provide investors with wider access to crypto.\u00a0<\/p>\n

The SEC approved several bitcoin futures-based ETFs in the past, but has yet to green light anything that directly invests in bitcoin.<\/p>\n

See also: BlackRock is applying for a spot bitcoin ETF. Here\u2019s why it matters to crypto.<\/strong><\/p>\n

\u201cIdle capital is returning to digital assets, first via brokerage accounts (which is why COIN, GBTC are rallying the most), but eventually, via direct investments into crypto funds and tokens,\u201d according to Dorman.<\/p>\n

To be sure, different types of crypto-related stocks went up for different reasons, analysts said.\u00a0<\/p>\n

Coinbase shares got a boost for serving as the custodian for BlackRock\u2019s proposed spot bitcoin exchange-traded fund. The crypto exchange\u2019s shares rallied more than 90% since June 15, when BlackRock submitted paperwork for the ETF.\u00a0<\/p>\n

Also read: <\/strong>BlackRock\u2019s bitcoin ETF filing is a vote of confidence in Coinbase, one analyst says. Here\u2019s why.<\/p>\n

Shares of bitcoin miners were mostly oversold last year as some mining companies collapsed, while their surge this year is driven by an improved mining environment with higher bitcoin prices and increased transaction fees, according to Dessislava Aubert, an analyst at Kaiko Research.\u00a0<\/p>\n

MicroStrategy has also benefited from the recovery of bitcoin prices, Aubert noted. The company is designed as \u201ca leveraged bitcoin position,\u201d with a $4.6 billion bitcoin position on its balance sheet using $2.2 billion of long-term convertible debt, analysts at Alliance Bernstein noted. <\/p>\n

\u201cThus, the stock behaves like a proxy bitcoin ETF, with 95% of its market cap represented by the value of its Bitcoin holdings, despite a cashflow positive $500M revenue enterprise analytics business,\u201d said the analysts.<\/p>\n<\/p><\/div>\n<\/div>\n

Read the full article here<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Several crypto-related stocks and funds have staged a spectacular rally this year, outperforming major cryptocurrencies, despite U.S. regulators\u2019 ongoing scrutiny of the industry.\u00a0\u00a0 Crypto exchange Coinbase COIN, -0.91% shares rallied over 190% so far this year, and MicroStrategy MSTR, -0.91%, which holds more than $4 billion bitcoin on its balance sheet, saw its shares up […]<\/p>\n","protected":false},"author":1,"featured_media":19760,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"video","meta":{"footnotes":""},"categories":[239],"tags":[83],"class_list":["post-37468","post","type-post","status-publish","format-video","has-post-thumbnail","hentry","category-investing","tag-featured","post_format-post-format-video"],"yoast_head":"\nWhy some crypto stocks have surged up to 400% this year, outperforming bitcoin | iFintechWorld<\/title>\n<meta name=\"description\" content=\"Several crypto-related stocks and funds have staged a spectacular rally this year, outperforming major cryptocurrencies, despite U.S. regulators\u2019 ongoing\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/ifintechworld.com\/?p=37468\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Why some crypto stocks have surged up to 400% this year, outperforming bitcoin | iFintechWorld\" \/>\n<meta property=\"og:description\" content=\"Several crypto-related stocks and funds have staged a spectacular rally this year, outperforming major cryptocurrencies, despite U.S. regulators\u2019 ongoing\" \/>\n<meta property=\"og:url\" content=\"https:\/\/ifintechworld.com\/?p=37468\" \/>\n<meta property=\"og:site_name\" content=\"iFintechWorld\" \/>\n<meta property=\"article:published_time\" content=\"2023-07-19T01:26:28+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-07-19T01:26:29+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/06\/1686201048_social.jpeg\" \/>\n\t<meta property=\"og:image:width\" content=\"1280\" \/>\n\t<meta property=\"og:image:height\" content=\"640\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"News Room\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"News Room\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/ifintechworld.com\/?p=37468#article\",\"isPartOf\":{\"@id\":\"https:\/\/ifintechworld.com\/?p=37468\"},\"author\":{\"name\":\"News Room\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61\"},\"headline\":\"Why some crypto stocks have surged up to 400% this year, outperforming bitcoin\",\"datePublished\":\"2023-07-19T01:26:28+00:00\",\"dateModified\":\"2023-07-19T01:26:29+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/ifintechworld.com\/?p=37468\"},\"wordCount\":621,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/ifintechworld.com\/#organization\"},\"keywords\":[\"Featured\"],\"articleSection\":[\"Investing\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/ifintechworld.com\/?p=37468#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/ifintechworld.com\/?p=37468\",\"url\":\"https:\/\/ifintechworld.com\/?p=37468\",\"name\":\"Why some crypto stocks have surged up to 400% this year, outperforming bitcoin | iFintechWorld\",\"isPartOf\":{\"@id\":\"https:\/\/ifintechworld.com\/#website\"},\"datePublished\":\"2023-07-19T01:26:28+00:00\",\"dateModified\":\"2023-07-19T01:26:29+00:00\",\"description\":\"Several crypto-related stocks and funds have staged a spectacular rally this year, outperforming major cryptocurrencies, despite U.S. regulators\u2019 ongoing\",\"breadcrumb\":{\"@id\":\"https:\/\/ifintechworld.com\/?p=37468#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/ifintechworld.com\/?p=37468\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/ifintechworld.com\/?p=37468#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/ifintechworld.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Why some crypto stocks have surged up to 400% this year, outperforming bitcoin\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/ifintechworld.com\/#website\",\"url\":\"https:\/\/ifintechworld.com\/\",\"name\":\"Repay Down\",\"description\":\"Latest Personal Finance News, Tips and Updates\",\"publisher\":{\"@id\":\"https:\/\/ifintechworld.com\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/ifintechworld.com\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/ifintechworld.com\/#organization\",\"name\":\"Repay Down\",\"url\":\"https:\/\/ifintechworld.com\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png\",\"contentUrl\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png\",\"width\":558,\"height\":90,\"caption\":\"Repay Down\"},\"image\":{\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61\",\"name\":\"News Room\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png\",\"contentUrl\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png\",\"caption\":\"News Room\"},\"sameAs\":[\"https:\/\/ifintechworld.com\"],\"url\":\"https:\/\/ifintechworld.com\/?author=1\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Why some crypto stocks have surged up to 400% this year, outperforming bitcoin | iFintechWorld","description":"Several crypto-related stocks and funds have staged a spectacular rally this year, outperforming major cryptocurrencies, despite U.S. regulators\u2019 ongoing","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/ifintechworld.com\/?p=37468","og_locale":"en_US","og_type":"article","og_title":"Why some crypto stocks have surged up to 400% this year, outperforming bitcoin | iFintechWorld","og_description":"Several crypto-related stocks and funds have staged a spectacular rally this year, outperforming major cryptocurrencies, despite U.S. regulators\u2019 ongoing","og_url":"https:\/\/ifintechworld.com\/?p=37468","og_site_name":"iFintechWorld","article_published_time":"2023-07-19T01:26:28+00:00","article_modified_time":"2023-07-19T01:26:29+00:00","og_image":[{"width":1280,"height":640,"url":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/06\/1686201048_social.jpeg","type":"image\/jpeg"}],"author":"News Room","twitter_card":"summary_large_image","twitter_misc":{"Written by":"News Room","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/ifintechworld.com\/?p=37468#article","isPartOf":{"@id":"https:\/\/ifintechworld.com\/?p=37468"},"author":{"name":"News Room","@id":"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61"},"headline":"Why some crypto stocks have surged up to 400% this year, outperforming bitcoin","datePublished":"2023-07-19T01:26:28+00:00","dateModified":"2023-07-19T01:26:29+00:00","mainEntityOfPage":{"@id":"https:\/\/ifintechworld.com\/?p=37468"},"wordCount":621,"commentCount":0,"publisher":{"@id":"https:\/\/ifintechworld.com\/#organization"},"keywords":["Featured"],"articleSection":["Investing"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/ifintechworld.com\/?p=37468#respond"]}]},{"@type":"WebPage","@id":"https:\/\/ifintechworld.com\/?p=37468","url":"https:\/\/ifintechworld.com\/?p=37468","name":"Why some crypto stocks have surged up to 400% this year, outperforming bitcoin | iFintechWorld","isPartOf":{"@id":"https:\/\/ifintechworld.com\/#website"},"datePublished":"2023-07-19T01:26:28+00:00","dateModified":"2023-07-19T01:26:29+00:00","description":"Several crypto-related stocks and funds have staged a spectacular rally this year, outperforming major cryptocurrencies, despite U.S. regulators\u2019 ongoing","breadcrumb":{"@id":"https:\/\/ifintechworld.com\/?p=37468#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/ifintechworld.com\/?p=37468"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/ifintechworld.com\/?p=37468#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/ifintechworld.com\/"},{"@type":"ListItem","position":2,"name":"Why some crypto stocks have surged up to 400% this year, outperforming bitcoin"}]},{"@type":"WebSite","@id":"https:\/\/ifintechworld.com\/#website","url":"https:\/\/ifintechworld.com\/","name":"Repay Down","description":"Latest Personal Finance News, Tips and Updates","publisher":{"@id":"https:\/\/ifintechworld.com\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/ifintechworld.com\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/ifintechworld.com\/#organization","name":"Repay Down","url":"https:\/\/ifintechworld.com\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/","url":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png","contentUrl":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png","width":558,"height":90,"caption":"Repay Down"},"image":{"@id":"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61","name":"News Room","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/ifintechworld.com\/#\/schema\/person\/image\/","url":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png","contentUrl":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png","caption":"News Room"},"sameAs":["https:\/\/ifintechworld.com"],"url":"https:\/\/ifintechworld.com\/?author=1"}]}},"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts\/37468","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=37468"}],"version-history":[{"count":1,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts\/37468\/revisions"}],"predecessor-version":[{"id":37469,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts\/37468\/revisions\/37469"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/media\/19760"}],"wp:attachment":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=37468"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=37468"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=37468"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}