Published: March 14, 2023 at 10:52 a.m. ET
Shares of cryptocurrency-linked names were rallying sharply in Tuesday morning action as the prices of bitcoin and other digital assets rocketed.
Coinbase Global Inc. COIN shares were up 7.8% in morning activity, after rising as much as 11.8% earlier in the session.
Shares of bitcoin miners Marathon Digital Holdings Inc. MARA and Riot Platforms…
Shares of cryptocurrency-linked names were rallying sharply in Tuesday morning action as the prices of bitcoin and other digital assets rocketed.
Coinbase Global Inc.
COIN
shares were up 7.8% in morning activity, after rising as much as 11.8% earlier in the session.
Shares of bitcoin miners Marathon Digital Holdings Inc.
MARA
and Riot Platforms Inc.
RIOT
were each up more than 10%. Shares of Hut 8 Mining Corp.
HUT
were up 14%.
The rallies in crypto-related stocks come as Bitcoin
BTCUSD
was up more than 7% Tuesday morning, while Ethereum
ETHUSD
was up more than 4%.
“With [Bitcoin] spiking in anticipation of a Fed pivot, the recent rally could have legs, but we continue to recommend a conservative approach to this sector,” DA Davidson analyst Chris Brendler wrote Tuesday of the bitcoin-mining names. Brendler has a preference for “higher-quality, low-cost miners with strong balance sheets” and rates Riot and Marathon shares at buy.
He noted that it’s been a volatile year for the mining stocks, which got off to a strong start in 2023 before “selling off over the last month until a massive, Fed-induced short-covering yesterday brought them back to positive territory.”
Still, “the rapid, unexpected demise of Silvergate, Silicon Valley Bank, and Signature are still rippling through the crypto market and the level of contagion is hard to predict at this early stage,” he noted.
See also: Coinbase’s stock rallies but USDC concerns linger even after feds’ SVB protections
