Bitcoin's 9% Surge Drives 15% Gain in Robinhood, 5.36% in CoinShares Valkyrie Bitcoin Miners ETF

Crypto-related stocks experienced a significant rally this week, driven by the surge in Bitcoin's price. Bitcoin, the world's largest digital asset, reached $104,000 for the first time since late January, marking an increase of over $8,500, or approximately 9%, from the previous Monday's lows of $93,000. This price movement triggered a wave of gains across various crypto-related stocks.

Robinhood, a popular crypto and stock trading retail app, led the rally with a 15% gain, rising from $45 to $55. Bitcoin miner stocks also performed impressively, with the CoinShares Valkyrie Bitcoin Miners ETF posting gains of 5.36% over the past four trading days. This sub-sector's performance was nearly on par with Strategy's MSTR, which saw a 5.28% increase during the same period, reaching $420 for the first time since December. Since the April lows, MSTR has gained over 70%, jumping from $240 to $420, indicating that it offered investors double the returns of Bitcoin over the same period.

However, not all crypto-related stocks benefited from the rally. Coinbase, a major crypto trading platform, posted less than a 1% gain in the past four days. This lackluster performance was attributed to a recent mixed earnings report that fell short of analysts' expectations. In contrast, SOL Strategies, a firm running a corporate treasury based on SOL, stood out among crypto stocks when tracked from April. SOL Strategies’ stock, CYFRF, surged 54% compared to MSTR’s 44%, while Bitcoin rose 25% over the same period. This indicated that SOL exposure offered more returns than Bitcoin in the past five weeks of trading.

The extended rally in crypto-related stocks was fueled by positive macro updates, particularly the U.S. trade deal with the UK. Another potential catalyst for further gains could be another trade deal with China. The surge in Bitcoin's price and the subsequent rally in crypto-related stocks highlight the growing interest and investment in the digital asset space, as well as the potential for significant returns for investors in this sector.