Cryptocurrency Stocks Soar as Bitcoin Hits Two-Week High

The price of bitcoin has been surging, and cryptocurrency stocks are following suit. Shares of Coinbase, MicroStrategy, and Riot Platforms have been on the rise, with investors piling into crypto companies as bitcoin hits a two-week high.

Bitcoin surges past $63,500

The recent rally in bitcoin has been attributed to increasingly bullish comments from Donald Trump, the Republican presumptive presidential nominee. Last week, Trump signed on to headline the Bitcoin 2024 conference in Nashville, Tennessee, further solidifying his stance on crypto.

Bitcoin’s Rise and Its Effects on Crypto Companies

Bitcoin is up about 6% in the past 24 hours, trading at around $63,500 as of early Monday afternoon. This surge has had a significant impact on crypto companies, with shares of Coinbase, the largest centralized digital asset exchange in the U.S., jumping 12% to $243.27. Bitcoin accounted for 33% of trading volume on the platform in the first quarter, by far the biggest amount for any cryptocurrency.

Coinbase sees a surge in trading volume

Ethereum, another popular cryptocurrency, accounted for 13% of volume. Bitcoin miners Riot Platforms surged 16%, while rival Marathon Digital soared 17%. Miners tend to gain when bitcoin rises in price because it increases the value of their operations.

MicroStrategy, the largest corporate holder of bitcoin, climbed 17% on Monday. The stock is up more than 150% this year. On Thursday, the company announced a 10-for-1 stock split, in order “to make MicroStrategy’s stock more accessible to investors and employees.”

MicroStrategy’s stock soars after split announcement

The recent rally in bitcoin and subsequent surge in crypto stocks have left many wondering what’s next for the cryptocurrency market. As investors continue to bet on the rise of bitcoin, one thing is certain - the market is heating up.