US cryptocurrency stocks had a solid start to the week as Bitcoin bounced back after several weeks of losses, closing the day close to $63,000.
As Bitcoin rises to $63,000, Coinbase and MicroStrategy top the advances in cryptocurrency stocks.
This increase came after an excellent weekend for the leading cryptocurrency asset due to reports of a failed assassination attempt on former President Trump, who was a huge supporter of Bitcoin.
According to Yahoo Finance data, leading cryptocurrency businesses saw significant increases during pre-market trading. Considerable price gains were observed for Coinbase, MicroStrategy, and publicly traded mining businesses such as Marathon Digital, Riot Platforms, Hive Digital, Canaan, and Hut 8.
The biggest cryptocurrency exchange in the US, Coinbase, announced a 5.22% increase in its COIN stock. The MSTR stock of MicroStrategy, the biggest publicly traded Bitcoin holding company with over 210,000 BTC, increased by 8%.
Furthermore, more than 7% of pre-market gains were recorded by publicly traded Bitcoin mining businesses, such as Bit Digital, Riot Platforms, and Marathon Digital.
Why are stocks rising?
Market experts have attributed the excellent performance of the broader crypto market during the reporting period to the increase in the prices of stocks related to cryptocurrencies.
Significant digital assets like Bitcoin, Ethereum, BNB, and XRP have all shown rises of more than 5%.
According to Singapore-based cryptocurrency trading company QCP, the market was factoring in a victory for Donald Trump in the upcoming elections in November. It said:
“This whole move seems to be caused by the market pricing in a Trump win at the coming election (similar to Reagan after a failed assassination attempt in 1981) and this is positive for crypto prices because of his overtly pro-crypto stance.”
This opinion was supported by blockchain intelligence platform Santiment, which also noted that there is currently evidence of a bullish bias surrounding the presumed Republican nominee.
Addition of sentiment:
“As we near elections this fall, the cryptocurrency community has generally shown bullish responses toward pro-Trump news, due to his recent pro-crypto comments. It goes without saying that surviving an assassination attempt is perceived as pro-Trump news. Therefore, bullish responses have occurred as a result.”
