Most Bitcoin stocks, going into the closing minutes of Tuesday’s trading session, were enjoying some degree of gain. And why was that? It was largely thanks to a new report from Bernstein, who looks for Bitcoin to hit levels it never even dreamed of. And that supposition was enough to send Microstrategy (NASDAQ:MSTR), Grayscale Bitcoin (NASDAQ:GBTC) and Riot Platforms (NASDAQ:RIOT) up fractionally. Meanwhile, Coinbase (NASDAQ:COIN) shot up over 4%. The only laggard in the bunch was Marathon Digital (NASDAQ:MARA), who slipped fractionally in Tuesday’s closing minutes.
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The word came from analyst Gautam Chhugani with Bernstein, who posited that a Bitcoin ETF would see approval from the Securities and Exchange Commission (SEC) sometime in 2024’s first quarter. Once that happened, Chhugani noted, it would effectively be Katy-bar-the-door for Bitcoin prices, and a surge would be largely inevitable as institutional buyers piled in. Chhugani noted that, considering Bitcoin as a “commodity,” under its current conditions, would suggest “…a turn of the cycle.” Throw in a “halving” set to come in April 2024—which would make Bitcoin mining that much more difficult—and that would send lesser miners packing and make the produce of the winners that much more valuable.
This comes at the same time as Stanley Druckenmiller—largely regarded as a “legendary” investor—made the admission that he should have been putting more cash into Bitcoin, comparing it to gold in terms of being a “strong brand.” Either way, this will likely come as good news to investors who, back in Bitcoin’s heyday, were mortgaging their houses to get hands on Bitcoin. Should Bernstein’s prediction ultimately bear fruit, the Bitcoin still held by those investors will more than double off Bitcoin’s previous peak price of about $67,000.
Which Bitcoin Stocks are a Good Buy Right Now?
Turning to Wall Street, the current laggard as far as upside potential goes is MSTR stock. With an average price target of $404.33, this Moderate Buy-rated stock offers a 3.83% downside risk. Meanwhile, the leader is RIOT stock. This Strong Buy-rated stock offers investors a 69.42% upside potential on its average price target of $16.40
