Crypto bellwether Bitcoin (BTC-USD) has hit its highest level for the year at nearly $41,900. As major cryptocurrencies soar higher amid rising tensions in the Middle East, Ethereum (ETH-USD) is up nearly 85% year-to-date.
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These price gains come as investors increasingly regard cryptocurrencies as a safe haven akin to gold. Hopes of easing interest rate pressures and the upcoming Bitcoin halving are also fuelling the rally.
In addition, a possible green light for crypto-focused ETFs from the Securities and Exchange Commission bodes well for the sector. This optimism has pushed Coinbase (NASDAQ:COIN) shares nearly 74% higher over the past month. The stock is up a further 9% in the morning session today.
The surge in cryptocurrency prices also means better profitability for crypto mining companies. As a result, shares of crypto miners Riot Platforms (NASDAQ:RIOT) and Marathon Digital (NASDAQ:MARA) are up nearly 12% and 14%, respectively, at the time of writing. These two stocks have surged about 309% and 303% so far this year.
What is the Best Crypto Stock to Buy?
Following this rally, the TipRanks Comparison Tool indicates a further upside potential of 20.3% for Riot Platforms. At the same time, Coinbase shares are beginning to look a bit expensive, with a price-to-earnings multiple of nearly 41.5. For Bitcoin, the next crucial resistance zone could be between the $44,500 and $45,000 zone.
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