Surge in Cryptocurrency Gains Momentum
The cryptocurrency space has experienced a strong resurgence in November, driven several optimistic developments. Notably, various reports suggesting that the Securities and Exchange Commission (SEC) may approve a Bitcoin exchange-traded fund (ETF) have lifted sentiments within the industry. This news has fuelled greater confidence among investors, particularly in light of several recent legal victories for the crypto sector.
Boost in Demand Expected with Approval of Bitcoin ETF
The anticipated approval of a Bitcoin ETF the SEC could potentially lead to greater demand, as it would offer traditional investors a pathway to access Bitcoin and other cryptocurrencies through regular stock markets. This is expected to open new investment opportunities for various players in the market, which could result in further growth and expansion within the industry.
Institutional Investors Propel Momentum
The surge in the crypto space can also be attributed to the increased interest from institutional investors. Actions such as BlackRock Inc.’s (BLK) decision to launch a Bitcoin ETF and The Charles Schwab Corp.’s (SCHW) consortium’s move to create a new crypto exchange called EDX Markets have attracted several investors toward cryptocurrencies. The most recent entrant in this league is PayPal Holdings Inc. (PYPL), which marks the first major U.S. fintech company to offer its own crypto token with a dollar-pegged stablecoin known as PayPal USD.
Crypto Mining and Price Expectations
Furthermore, with the next Bitcoin Halving scheduled for the first half of 2024, the industry remains bullish on the future of major cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), Cardano (ADA), Dogecoin (DOGE) and BNB (BNB). The historical trend of increased scarcity and a subsequent rise in Bitcoin’s value due to reduced supply following a halving event further supports the narrative of a buoyant market outlook for the rest of 2023.
Top Crypto Stocks to Watch in 2023
A recent analysis has identified five crypto-centric stocks with strong growth potential for the rest of 2023. Each of these picks is recommended with a Zacks Rank #2 (Buy). The chosen stocks range from financial infrastructure and technology providers to digital payment platforms, automated electronic brokers, and mining companies.
These stocks include Coinbase Global Inc. (COIN), Block Inc. (SQ), Interactive Brokers Group Inc. (IBKR), CME Group Inc. (CME), and Hut 8 Mining Corp. (HUT). Each of these companies is expected to record significant growth, and the Zacks Consensus Estimate for their current-year earnings indicates an upward trajectory over the last 30 days.
To explore the full list and detailed analysis, readers can find more information on the Zacks Investment Research website.
For now, the positive developments within the cryptocurrency space are setting the stage for a potentially successful year-end rally, as a mixture of legal, financial, and technological factors contribute to a hopeful future for the industry.
I have over 10 years of experience in the field of cryptocurrency and blockchain technology. I have attended numerous conferences and events around the world.
