Bitcoin
4 Solid Crypto Stocks to Buy
Cryptocurrencies have been struggling lately, especially Bitcoin (BTC), after a solid first quarter preceded by a robust 2023. However, analysts believe that Bitcoin still has a lot of potential and the bull run will resume soon.
Bitcoin was trading above $64,000 on May 6. The cryptocurrency fell below $60,000 last month. In March, Bitcoin reached an all-time high of $73,750.
However, comments from Federal Reserve Chairman Jerome Powell last week helped Bitcoin recover.
Powell said further interest rate increases were unlikely. While it did not provide a timeline for the first rate cut, the Federal Reserve plans at least three rate cuts by the end of this year, with the first likely coming in June.
Optimism surrounding rate cuts increased following the release of weaker-than-expected employment data.
Several factors were responsible for the recent decline in Bitcoin’s price. The current geopolitical tension in the Middle East is among them. Cryptocurrencies, being traded continuously and on a global scale, often have quick and sometimes more significant reactions compared to stocks.
Given their decentralized nature, cryptocurrencies can quickly respond to geopolitical events as traders readily buy or sell digital assets to manage uncertainty.
With the Bitcoin halving event, the cryptocurrency is expected to resume its rise.
Our choices
We’ve narrowed down our research to four crypto-focused stocks with strong potential for 2024. Each of our picks carries a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold). You can see The complete list of today’s Zacks #1 Rank stocks here.
NVIDIA Corporation NVDA is a major player in the semiconductor industry and has been one of the standout success stories in 2023. As a leading designer of graphics processing units (GPUs), NVDA’s stock value is likely to rise in a thriving crypto market . This is mainly due to the crucial role that GPUs play in data centers, artificial intelligence, and cryptocurrency mining or production.
NVIDIA’s expected earnings growth rate for the current year is 84.7%. The Zacks Consensus Estimate for current-year earnings has improved 3.1% over the past 60 days. NVIDIA currently has a Zacks Rank #2.
Interactive Brokers Group, Inc. IBKR is a global automated electronic broker. IBKR executes, processes and trades cryptocurrencies. The IBKR commodity futures trading desk also offers clients the opportunity to trade cryptocurrency futures.
Interactive Brokers Group has an expected earnings growth rate of 12.4% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 6.4% over the past 60 days. IBKR currently has a Zacks Rank #1.
The story continues
Coinbase Global, Inc. COIN provides financial infrastructure and technology to support the global cryptocurrency economy. COIN provides a primary financial account for consumers in the crypto space, a liquid marketplace for institutional transactions of crypto assets, and technology and services for developers to create crypto-based applications and securely accept cryptocurrencies as payment.
Coinbase Global’s expected earnings growth rate for the next year is 632.4%. The Zacks Consensus Estimate for current-year earnings has improved 168.3% over the past 60 days. Coinbase currently sports a Zacks Rank #1.
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 Robinhood Crypto platform.
Robinhood Markets’ expected earnings growth rate for the current year is 147.5%. The Zacks Consensus Estimate for current-year earnings has improved 45% over the past 60 days. Robinhood Markets currently has a Zacks Rank #2.
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(IBKR): Free Stock Analysis Report
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