Markets
Crypto stocks tumble as market crashes
Crypto stocks are trading lower along with digital assets as low sentiment stemming from negative macro factors dominates the market. Bearish sentiment extends as Bitcoin price hits lows not seen in months. At the time of writing, Bitcoin prices are trading at $64,114, marking a decline of 1.60% in the last 24 hours. This generated negative volumes in altcoins and crypto stocks.
Crypto stocks are companies whose prices are influenced by the activities of Bitcoin, altcoins, or blockchain developments. From Coinbase to Bitcoin mining stocks, stocks are trading in the red zone. Here’s how major cryptocurrency stocks performed this week.
Crypto stocks plummet
Digital Asset Exchange, Coinbase (CURRENCY) saw an outflow of 3.9% in the last 24 hours, suffering weekly losses of more than 8%. Although the monthly data fluctuates, the long-term statistics remain at the highs recorded this year. Since COIN debuted in 2021, the price of Bitcoin has influenced the stock based on previous market cycles. This is due to increased activity in the bull season and declining numbers in a bear market.
Aside from Coinbase, Bitcoin mining companies have fallen considerably this week. Marathon Digital (MARA) is worth $19.21, down 7% today and 4% this week. Bitcoin outflows hit miners due to dwindling reserves. Bitcoin’s growth in the first quarter of 2024, which led to an all-time high above $73,000, spurred miners’ movements along with the
Canada-based Hut 8 fell 5.28% today, while the market’s weekly numbers rose 10%. Riot Platforms fell 8% today, with seven-day data at 12%. Despite the low numbers, MicroStrategy saw inflows as the company increased bullish momentum.
Will stocks rebound?
Crypto stocks decline in the near term and will fluctuate due to a broader market rise. Bitcoin and other crypto assets will increase if macroeconomic factors swing positively stimulating asset reductions. Bulls keep an eye on upcoming events, such as interest rate cuts by the Federal Reserve and the US presidential election.
Read also: Could Japan’s Banking Crisis Trigger Another Bitcoin Rally? Author Hayes thinks so
David is a financial news contributor with 4 years of experience in Blockchain technology and cryptocurrencies. He is interested in learning about emerging technologies and has an eye for the latest news. Staying up to date on trends, David has reported in several niches including regulation, partnerships, cryptocurrencies, stocks, NFTs, etc. Away from the financial markets, David cycles and rides horses.