Brian’s Bright Idea On Bitcoin

Brian bolin has another bright idea for us and today it’s Bitcoin. You might have noticed in the news that Bitcoin reached a brand new high today going just short of $70,000. There has been a lot of interest in Bitcoin over the last few months as investors ran into Bitcoin miners and several Bitcoin and blockchain stocks at the end of 2023 as they look to front run the eventual announcement from the SEC that there would be a Bitcoin ETF.

Brian reviews how the Bitcoin ETF news was a classic by the rumor and sell the new style event where investors that came late to the party were punished. Those that have stuck around have found that there is another buy the rumor sell the news event coming in the future and have been bailed out. The other event that Brian is talking about is the halving of Bitcoin which is slated for mid-april.

One of the other reasons Bitcoin has moved up to new all time highs is that there’s been a lot of investors coming into the space. While the ETF was approved in January some investors took their time getting in but we are still seeing significant inflows into many of the Bitcoin ETFs.

Brian takes a look at Riot Platforms RIOT which is a Zack Rank #3 (Hold). He notes that this stock is pretty liquid with 28 million shares trading every day and sports a solid $3.4 billion market cap. This is one of the first miners in the space as the company tries to mine Bitcoin and then sell it to cover the operating expenses.

Marathon Digital MARA is also a Zack Rank #3 (Hold) and is a little less than double the size of riot at $6.8 billion in market capitalization. This company missed its most recent earnings announcement back at the end of February and the stock is come in a little bit. Today with Bitcoin reaching a new all time high and then turning around has put some pressure on the miners and at the time of filming this stock was down 10% on the day.

Coinbase COIN is a Zack Rank #1 (Strong Buy) and is the platform that a lot of people use to buy and sell cryptocurrency. There has been a lot of talk about people that own the ETF versus those that own actual Bitcoin, and the argument for owning the crypto makes a lot of sense. If you want the benefit of the asset it would be wise to hold the actual asset as opposed to holding the ETF yes there are aren’t the same assurances that you get when you hold an ETF that is a basket of stocks.

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Finally Brian looks at the blockchain innovators service here at Zacks Investment Research that is run by David Bartosiak. “Buy and hold” Dave is a nickname that he has earned over the last few years as he has held the top performers of the service for several years. At the moment he has three stocks that have a return of more than 1000% each. That is what you get when you buy and hold a strong performing name.

They’ve also has a number of stocks that are in the blockchain ecosystem that are not miners or what you would normally think are directly related to Bitcoin. These are companies that are utilizing the blockchain either via payments or hardware or related services. Be sure to check out Blockchain Innovators at Zacks Investment Research.

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Marathon Digital Holdings, Inc. (MARA) : Free Stock Analysis Report

Riot Platforms, Inc. (RIOT) : Free Stock Analysis Report

Coinbase Global, Inc. (COIN) : Free Stock Analysis Report

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