This year, $MSTR treasury operations delivered a BTC Yield of 26.4%, providing a net benefit of ~49,936 BTC to our shareholders. This is equivalent to 157.5 BTC per day, acquired without the operational costs or capital investments typically associated with bitcoin mining.
— Michael Saylor⚡️ (@saylor) November 12, 2024
Bitcoin rallied above $93,000 on Wednesday as the world’s largest cryptocurrency continues to notch record highs in the wake of the Nov. 5 elections. President-elect Donald Trump has been pro-crypto during his campaign and is expected to offer a friendly regulatory regime for digital assets.
That could provide a tailwind for bitcoin ETFs and related stocks such as Coinbase Global and Robinhood Markets.
We think that #Bitcoin could become the next Strategic Reserve Asset.pic.twitter.com/B2DE5yhb7K
— Michael Saylor⚡️ (@saylor) November 11, 2024
Bitcoin jumped to another all-time high of $93,445 on Wednesday, marking a nearly 34% rally from Election Day, according to CoinDesk data. Bitcoin fell to near $89,000 by the afternoon.
Bernstein analysts in a Monday note urged investors to add crypto industry exposure “as soon as possible.”
A little goes a long way when it comes to crypto. So start with the Grayscale Bitcoin Mini and Ethereum Mini, tickers: $BTC and $ETH — the lowest cost* spot #bitcoin and #ether exchange-traded products. pic.twitter.com/rwuijSG07K
— Grayscale (@Grayscale) November 13, 2024
“Don’t fight this,” wrote analysts led by Gautam Chhugani.
Crypto market hits a $3 trillion market cap, returning to levels last seen in Nov 2021. pic.twitter.com/eA2w7clNKS
— Binance (@binance) November 11, 2024
“Welcome to the crypto bull market — buy everything you can.” The analysts told investors who had refrained from crypto due to regulatory concerns to “invert their mental model” following the U.S. election results. Bernstein noted that there should be a friendlier crypto regulatory environment under Trump, including a new Securities and Exchange Commission Chair.
At a crypto conference in July, Trump pledged to make the U.S. the “crypto capital of the planet and the bitcoin superpower of the world.” Bernstein added that it remains “confident” in its $200,000 bitcoin price target by the end of 2025. Even as bitcoin pushes to record highs, the analysts believe the risk-reward is favorable over the next 12 months. However, new investors should remain cautious about bad actors, wrote Anthony Yeung, global head of strategic development at crypto security firm CoinCover.
“Bitcoin’s volatility makes it attractive to new investors, but people should take the time to educate themselves around the risks of any bull market,” Yeung wrote. “One of the most important trends that investors should be aware of is the correlation between new market entrants and the rise in malicious activity. With bitcoin expected to rise even further this week, new investors should be particularly wary of these threats.”
Spot bitcoin ETFs generated $1.93 billion in inflows through Tuesday, led by $1.53 billion from BlackRock’s iShares Bitcoin Trust ETF, according to Farside Investors data.
The iShares Bitcoin Trust ETF was the week’s clear leader with a total of $1.25 billion in inflows.
Bitcoin climbs after election victory
So far, the spot bitcoin ETFs have amassed a total of $27.72 billion in inflows since their January launch, offset by $20.1 billion in outflows from the Grayscale Bitcoin Trust.
The Fidelity Wise Origin BTC ETF ranks second at $10.93 billion in inflows. Coinbase stock fell 10.8% on Wednesday and pared gains from Tuesday, after leaping about 20% on Monday. Shares of the crypto exchange erupted for a 48% weekly gain last week to 270.74, just below a multi-year high.
Coinbase broke out above a 283.48 buy point for a 32-week consolidation on the move, with COIN stock vaulting about 64% this year. Robinhood, a crypto-friendly trading app, last week soared 27.4% to 30.54, the highest in nearly three years. Shares surged another 7.4% on Monday, but fell on Wednesday.
Meanwhile, bitcoin miners rallied on Monday to extend their gains from last week. The stocks were mixed on Tuesday and Wednesday. Bit Digital soared 26.3% on Monday, clearing a 4.37 buy point, following a 20.5% rally last week.
MARA Holdings popped 30% on Monday, rebounding above its 200-day line with shares paring gains on Wednesday due to earnings. Bitcoin has rallied approximately 111% this year, with new highs surpassing its prior March 14 record of $73,798. Meanwhile, Ethereum traded near $3,140 on Wednesday.
ETH traded as high as $3,441 on Monday, clearing its Oct. 20 high near $2,750. Ethereum has leaped about 37% in 2024, reaching a 52-week high of $4,090 in March, though it’s still below its November 2021 peak above $4,800.
