Bitcoin Surges Past $90,000: Opportunities for Crypto Stocks
Key Takeaways
- NVDA, BLK, and ACN stocks stand to gain from the recent surge in Bitcoin prices.
- With Bitcoin exceeding $90,000 for the first time, these stocks have strong growth potential.
- Sign up to access our report on the 7 Best Stocks for the Coming Month – available for free!
The cryptocurrency market is currently in a strong upswing, highlighted by Bitcoin (BTC) achieving significant milestones in the past week. After kicking off the year on a high note, Bitcoin experienced a downturn before experts forecasted a revival for the latter half of 2023.
This latest rally has been ignited by Donald Trump’s recent presidential election win and a fresh interest rate cut by the Federal Reserve. In this context, investing in Bitcoin-related stocks such as NVIDIA Corporation (NVDA), BlackRock, Inc. (BLK), and Accenture plc (ACN) could represent a smart financial move.
Bitcoin Reaches New Heights
Last week, Bitcoin crossed $75,000 for the first time shortly after the presidential polls concluded. Since then, it has continued to climb. Earlier in the year, Bitcoin had set a record at $73,770 in March but then faced challenges for the next three months.
The turning point came in mid-September when the Federal Reserve decided to cut interest rates by 50 basis points, halting its tightening measures amid rising inflation rates. Following Trump’s electoral success, Bitcoin experienced a significant jump, exceeding $80,000 this week and then surpassing $90,000, reflecting a 34% increase following the election. Most recently, Bitcoin was trading at $87,250, with indications that it could soon cross the $100,000 mark.
During his campaign, Trump pledged to propel the U.S. into a leadership role in the digital asset sector, which includes establishing a Bitcoin reserve and appointing supportive regulators. This positive outlook is positively impacting Bitcoin’s performance. Additionally, the recent 25-basis point interest rate cut by the Federal Reserve, marking its second consecutive cut in three months, is favorable for the cryptocurrency market.
Beneficial Crypto Stocks
NVIDIA Corporation
NVIDIA Corporation has firmly positioned itself in the semiconductor industry and is enjoying remarkable success this year. As a top designer of graphic processing units (GPUs), the value of NVDA stock often rises alongside a flourishing crypto market due to the essential role of GPUs in data centers, artificial intelligence, and cryptocurrency mining.
NVIDIA is projected to see earnings growth of over 100% for the current year. The Zacks Consensus Estimate for this year’s earnings has recently increased by 0.7%. Presently, NVIDIA holds a Zacks Rank of #2 (Buy). You can view the full list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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BlackRock
BlackRock, one of the largest investment managers globally, made waves in June 2023 by entering the Bitcoin ETF marketplace.
This year, BlackRock’s expected earnings growth rate is 14.3%, with the Zacks Consensus Estimate for earnings rising by 4.4% over the last two months. Currently, BLK holds a Zacks Rank of #1.
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Accenture plc
Accenture plc is a global systems integrator offering technology, consulting, and various services. They are particularly focused on promoting Ethereum-based blockchain solutions designed to enhance business payment processes.
Accenture is anticipating an earnings growth rate of 6.9% this year, with the Zacks Consensus Estimate for current-year earnings improving by 1.4% over the last two months. ACN is currently rated at Zacks Rank #2.
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Explore the 7 Best Stocks for the Next Month
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This selection has historically outperformed the market by more than twice the average since 1988, demonstrating an annual gain rate of about +23.7%. These carefully chosen stocks merit your immediate attention.
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Accenture PLC (ACN) : Free Stock Analysis Report
BlackRock, Inc. (BLK) : Free Stock Analysis Report
NVIDIA Corporation (NVDA) : Free Stock Analysis Report
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The views and opinions expressed herein are the author’s and do not necessarily reflect those of Nasdaq, Inc.
