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Cryptocurrency-exposed stocks surge as Bitcoin rallies past $82,000 for first time

Published 2024-11-11, 08:26 a/m
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Investing.com - Bitcoin hit a new all-time high above $82,000 with cryptocurrency-exposed stocks skyrocketing in a clear sign that investors are betting on even bigger gains. The rally comes after U.S. elections saw a wave of pro-crypto candidates taking office, fueling optimism in the market.

Excitement around bitcoin rally triggered gains even before the official market opening, which reflects strong buying interest among crypto investors.

Leading the way was MicroStrategy Incorporated (NASDAQ:MSTR), the publicly traded company holding the largest bitcoin reserve, which saw its shares jump 11% to over $300. Medical device company Semler Scientific (NASDAQ:SMLR), which spent $71 million on its bitcoin buys, surged by 25% to a fresh year peak. America’s largest crypto exchange Coinbase (NASDAQ:COIN) wasn’t far behind with a nearly 17% boost as the price action unfolded.

Mining companies, with bitcoin reserves on their balance sheets, joined in on the rally. MARA Holdings, holding 26,842 BTC—the second-largest amount after MicroStrategy—led the sector with a 20% increase. 

Shares of other cryptocurrency exposed stocks saw double-digit gains as the bitcoin wave lifted the broader sector. Riot Platforms (NASDAQ:RIOT) closed at $12.81, up 3.5% over the past 24 hours, while Ebang International Holdings (NASDAQ:EBON) added 3.1%, ending at $6.96. 

Other crypto miner like Hut 8 (TSX:HUT) Corp (NASDAQ:HUT) gained 2.6% to $19.59, while Cipher Mining (NASDAQ:CIFR) traded higher by 3.3% to $7.16. HIVE Blockchain (TSXV:HIVE) Technologies Ltd (NASDAQ:HIVE) was up 2.9% to $4.65, Stronghold Digital Mining Inc (NASDAQ:SDIG) rose 3.5% to $5.38, Bakkt Holdings Inc (NYSE:BKKT) added 2.7% to $9.82, and Bitfarms Ltd (NASDAQ:BITF) secured a 3.1% gain, closing at $2.24.

Bitcoin's latest rally came right alongside Donald Trump’s U.S. presidential election victory, which seemed to ignite a few days of upbeat sentiment in the crypto world. Bitcoin’s market cap surged to $1.16 trillion, cementing its spot as the ninth-largest financial asset. The cryptocurrency market as a whole reached a year-high, climbing past $2.7 trillion.

The President-elect promised to make the United States the "crypto capital of the planet." His campaign promises to the industry include creating a national crypto reserve with over $16 billion in Bitcoin the government acquired from asset seizures. He also plans to cut interest rates, a move that often aligns with rising crypto prices as it lowers the cost of borrowing.

Altcoins joined the rally, with Dogecoin and Shiba Inu leading the charge among major tokens. Dogecoin jumped by 88% over the past month buoyed by endorsements from Elon Musk, and flipped both XRP and stablecoin USDC late Sunday, climbing to the sixth-largest token position. Although other major tokens saw moderate gains, some investors chose to take profits after Friday’s rally.

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