4 Stocks to Track as Bitcoin Breaches 50% Market Share

Since its inception, Bitcoin (BTC) has been the leading light in the world of cryptocurrency. It has dominated the markets and has been the market-leading cryptocurrency by a country mile. Ethereum (ETH) has followed in its footsteps but is still far from the numero uno position. Such totalitarian has been its domination that its name is often alternatively used for the word cryptocurrency, and the word “altcoin” is used for all cryptocurrencies, barring bitcoin.

This singular dominance got an even bigger push in June this year when many top investment firms from the traditional marketplace started filing for SEC approval of their Bitcoin ETFs. Before this happened, Bitcoin’s market dominance was between 39% and 49% for more than two years. In late June, it broke out to the 52% level. On Monday, it breached the 50% mark again. With investment giants shifting toward a particular currency, i.e., Bitcoin, altcoins have suffered. It has solidified its reputation of being the “safe” crypto-asset and is expected to bite into a larger share of the pie in the near future.

Bitcoin is also almost certainly going to benefit from the latest regulatory changes suggested by the New York Department of Financial Services (“NYFDS”). On Monday, the NYFDS proposed stricter rules to list cryptocurrencies on exchanges. However, they green-listed BTC as a digital asset that license holders can list or custody without further regulatory hurdles. This leeway has also been extended to ETH, as it has been for stablecoins issued by PayPal and Gemini.

As of Sep 19, the crypto behemoth had risen 62.6% in price in 2023, having gone up as high as 90% in mid-July when it had almost breached the $31,500 mark. Currently, it is on a steady step back to cross the $27,000 level, and because of the factors mentioned above, it is expected to get further traction. In such an environment, it might be prudent to track stocks that are exposed to or directly linked to Bitcoin.

Stronghold Digital Mining, Inc. SDIG is a crypto asset mining company that focuses on mining Bitcoin in the United States. SDIG’s expected earnings growth rate for the current year is 97.7%. The Zacks Consensus Estimate for its current-year earnings has improved by 68.7% over the past 60 days. SDIG currently carries a Zacks Rank #3 (Hold).

NVIDIA Corporation NVDA is a semiconductor industry giant and one of the biggest success stories of 2023. Being leading designers of graphic processing units (GPU)s, Nvidia stocks usually soar with a booming crypto market because GPUs are pivotal for data centers, artificial intelligence, and Bitcoin and altcoin mining.NVDA’s expected earnings growth rate for the current year is 219.5%. The Zacks Consensus Estimate for its current-year earnings has improved by 37.3% over the past 60 days. NVDA currently carries a Zacks Rank #1 (Strong Buy).

Robinhood Markets Inc. HOOD operates a financial services platform in the United States. Its platform allows users to invest in stocks, exchange-traded funds, options, gold and cryptocurrencies. HOOD buys and sells Bitcoin, Ethereum, Dogecoin and other cryptocurrencies using its crypto platform. HOOD’s expected earnings growth rate for the current year is 57.3%. The Zacks Consensus Estimate for its current-year earnings has improved by 18% over the past 60 days. HOOD currently carries a Zacks Rank #2 (Buy).

BlackRock, Inc. BLK is an enterprise risk management and fixed-income institutional asset manager that applied to launch a Bitcoin exchange-traded fund in June. BlackRock is the world’s largest asset manager. BLK’s expected earnings growth rate for the current year is 0.3%. However, in 2024, it is expected to grow 13.2%. The Zacks Consensus Estimate for its current-year earnings has improved by 1.4% over the past 60 days. BLK currently carries a Zacks Rank #2.
BlackRock, Inc. (BLK): Free Stock Analysis Report

NVIDIA Corporation (NVDA): Free Stock Analysis Report

Robinhood Markets, Inc. (HOOD): Free Stock Analysis Report

Stronghold Digital Mining, Inc. (SDIG): Free Stock Analysis Report

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