Marked a significant milestone for the leading cryptocurrency in capitalisation, Bitcoin, by surpassing the $50,000 ceiling after almost two years, triggering a domino effect in cryptocurrency-related companies.
BTC, also known as the “digital gold,” experienced an increase of more than 4.0% since the opening of the New York market, reaching a price in the $50,300 zone.
Bitcoin’s remarkable upward momentum had an immediate impact on Coinbase, the first cryptocurrency-related company to list on the NYSE. Coinbase experienced growth of more than 3.50%, reaching the $150.00 USD per share zone. It is important to note that about a year ago, the company’s shares were around $55.00 USD, which represents a growth of about 170% in one year.
It is not only thanks to Bitcoin that Coinbase has experienced a remarkable rise. The recent launch of spot Bitcoin ETFs in the United States has generated intense competition among the major cryptocurrency exchanges.
In this context, Coinbase has emerged as a crucial player by being selected as custodian for eight of the eleven ETFs issued. Among the firms that have opted for Coinbase are Bitwise, Ark Invest, WisdomTree, Invesco,
Valkyrie, BlackRock, Franklin Templeton and Grayscale. Only Fidelity, VanEck and Hashdex have chosen other custodians to safeguard their BTC. By leading as custodian for the majority of spot BTC ETFs, Coinbase could exert an even more significant influence on market dynamics.
But eyes will continue to be on Coinbase this week, as the cryptocurrency exchange platform will release its quarterly report for the fourth quarter of 2023 on Thursday, February 15, 2024. Analysts are projecting EPS of 0.044 and revenue of $826.69 million.
In addition to Coinbase, other digital-related companies experienced significant upward movements. Marathon Digital Holdings Inc, a company focused on digital asset technology and the blockchain ecosystem, recorded a 14% increase, taking the price to the $27.20 per share zone.
Similarly, Nasdaq-listed MicroStrategy Incorporated saw an increase of 11%, taking its price to the $715.00 per share zone.
In conclusion, it is crucial to note that these remarkable movements in the aforementioned companies have been influenced by both the rise of Bitcoin and the authorization of ETFs approved by the SEC in January 2024. This authorization has opened the doors for major institutions to enter the world of cryptocurrencies, which has contributed significantly to the growth of BTC and boosted everything related to it.
Leave a Comment