Bitcoin Bull Run May Lead to Stock Gains for COIN, SQ, NVDA

Since its launch in 2009, Bitcoin (BTC) has witnessed an unprecedented rise from a penny to a record high of $73,750 on March 14. However, the Bitcoin halving event in April failed to boost its price. Instead, the price of BTC fell below $60,000 and entered correction territory the following month.

BTC recently defied the downtrend and returned above $63,000. BTC jumped 5.7% on July 15 to $63,768, according to Dow Jones Market Data. BTC’s price may still be well below its all-time high, but it’s up more than 50% this year. BTC’s price is up 12.6% in the last seven days, sparking speculation that a significant rally is imminent.

Bitcoin Price Chart – Percentage Change (7g)

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Is Bitcoin Going Through a Bull Run?

There are many factors that are fueling the BTC surge. The recent failed assassination attempt of Donald Trump has increased the possibility of him winning the presidential election this year. Trump is said to be more open to the crypto sector than Biden. He has started accepting crypto donations for his presidential campaign.

Meanwhile, Bitcoin miners are experiencing significant strain that could force them to shut down their operations. This would lead to less selling pressure in the crypto market, paving the way for a potential recovery in BTC price.

Also, the lack of sustained downward pressure at the moment could see the BTC price scale upwards. This is due to the end of Bitcoin liquidations by the German government. On the other hand, Bitcoin whales have been acquiring additional BTC for some time now, which could reduce the BTC supply and lead to a price increase.

Let’s not forget that both institutional and retail BTC adoption will help the price of the world’s number one cryptocurrency scale upwards in the long term. Additionally, interest rate cuts are expected even in the fall, which will lead to a weaker dollar and increased investor interest in alternative assets like BTC (read more: Surge in Interest Rate Cut Bets Could Drive Stock Gains for GOLD, KGC, FNV).

3 Crypto Stocks on the Radar: COIN, SQ, NVDA

With the price of BTC moving north, things seem to be looking up for Coinbase Global, Inc. COIN, Block, Inc. SQ, and NVIDIA Corporation NVDA, which could be the best beneficiaries of the flagship cryptocurrency’s bullish momentum.

Coinbase

Coinbase, a crypto trading platform that trades a variety of digital assets including Bitcoin, has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.

The story continues

The Zacks Consensus Estimate for Coinbase’s earnings for the coming year has moved 15.4% higher in the past 60 days. Coinbase’s expected earnings growth rate for the current year is 1,740.5%. The estimated revenue growth rate for the current year is 92%.

To obstruct

Block is a digital payments company that generates revenue from products like Cash App. This platform buys and sells Bitcoin. Block currently has a Zacks Rank #3 (Hold).

The Zacks Consensus Estimate for Block’s current-year earnings has increased by 0.7% in the past 60 days. Block’s expected earnings growth rate for the current year is 72.8%. The estimated revenue growth rate for the current year is 14.9%.

NVIDIA

Semiconductor giant NVIDIA designs graphics processing units for mining cryptocurrencies like Bitcoin. NVIDIA currently holds the No. 1 Zacks Rank.

The Zacks Consensus Estimate for NVIDIA’s current-year earnings has increased by 11.2% in the past 60 days. NVIDIA’s expected earnings growth rate for the current year is 106.2%. The estimated revenue growth rate for the current year is 93%.

Coinbase, Block and NVIDIA shares have gained 9.3%, 11.7% and 4% respectively since the beginning of the month.

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