These 2 Cryptocurrency Stocks Are Riding Bitcoin's Record Highs – The Motley Fool

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Founded in 1993, The Motley Fool is a financial services company dedicated to making the world smarter, happier, and richer. The Motley Fool reaches millions of people every month through our premium investing solutions, free guidance and market analysis on Fool.com, personal finance education, top-rated podcasts, and non-profit The Motley Fool Foundation.
Founded in 1993, The Motley Fool is a financial services company dedicated to making the world smarter, happier, and richer. The Motley Fool reaches millions of people every month through our premium investing solutions, free guidance and market analysis on Fool.com, top-rated podcasts, and non-profit The Motley Fool Foundation.
Founded in 1993, The Motley Fool is a financial services company dedicated to making the world smarter, happier, and richer. The Motley Fool reaches millions of people every month through our premium investing solutions, free guidance and market analysis on Fool.com, personal finance education, top-rated podcasts, and non-profit The Motley Fool Foundation.
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Key Points
Bitcoin may be soaring, but these crypto stocks are doing even better.
This October has been good for cryptocurrencies so far. As I write this (Oct. 8), Bitcoin (CRYPTO: BTC) has gained 7% since the start of the month and 10% in the past 30 days. One driver was the government shutdown, which increased the appeal of alternative assets like crypto and gold that may act as safe havens.
Strong crypto performance is usually good news for cryptocurrency stocks and Bitcoin corporate treasury companies. Indeed, these two have outperformed Bitcoin in the past month.
Image source: Getty Images.
Bullish (BLSH -9.44%) has gained almost 35% in the past 30 days, buoyed by several announcements. The institution-focused global digital asset platform launched a U.S. spot trading exchange and a crypto options platform for clients outside the U.S.
It also announced a corporate banking partnership with Deutsche Bank (NYSE: DB) that includes fiat deposits and withdrawals for clients in Hong Kong and Germany.
MARA Holdings (MARA -7.77%) is up over 30% in the past 30 days. It reported that September’s Bitcoin production was up 4% month over month and showed it is taking a higher proportion of overall miner rewards.
MARA is a Bitcoin mining company with a twist: It reduces the cost of mining through renewable energy generation and clean energy conversion. It’s also expanding into AI data centers, making it more than a one-trick Bitcoin pony.
There are various ways to get exposure to Bitcoin, including buying it directly, investing in Bitcoin ETFs, and using corporate treasury companies. For some — like the two above — Bitcoin is a core part of their business.
For others, like Strategy (NASDAQ: MSTR), Bitcoin accumulation sits outside their original business activities. Strategy has led the way in using leverage, which can generate outsized returns. However, that also adds risk.
If you’re considering investing in a Bitcoin treasury company, take a good look at the role crypto plays in their business. Consider how much Bitcoin it holds, what it paid for it, and how the business will handle any prolonged price drops.
Emma Newberry is a contributing Motley Fool cryptocurrency analyst covering digital currencies and blockchain trends. She previously wrote for Motley Fool Money (formerly The Ascent) on personal finance, investing, retirement readiness, and crypto. Earlier in her career, Emma founded an English-language newspaper in Colombia and contributed to Olympic city bid campaigns. She holds a bachelor’s degree in English literature with creative writing from the University of East Anglia in the UK.
Emma Newbery has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bitcoin. The Motley Fool has a disclosure policy.
Stocks Mentioned
*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.
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