Bitcoin's Ascent Fuels Strategic Plays in Visa, NVIDIA, and PayPal

The Bitcoin rally of 2025 is no mere technical rebound—it's a macroeconomic phenomenon driven by easing inflation, thawing trade tensions, and institutional adoption. As the cryptocurrency nears its all-time high of $110,000, its ascent is unlocking opportunities for financial technology stocks positioned to profit from its growth. Visa (V), NVIDIA (NVDA), and PayPal (PYPL) stand out as leveraged beneficiaries of Bitcoin's momentum, offering investors exposure to payments innovation, GPU-driven crypto mining, and digital wallet ecosystems. Yet, their current undervaluation—reflected in Zacks' neutral rankings—presents a compelling entry point for long-term holders, even as volatility risks linger.

The Bitcoin Catalyst: Inflation Eases, Trade Deals Unfreeze

Bitcoin's surge in June 2025 is rooted in macro tailwinds. U.S. inflation has cooled to a four-year low of 2.3%, while the temporary U.S.-China trade deal—reducing tariffs on $250 billion in goods—has alleviated cost-push pressures. This “goldilocks” environment has stabilized Bitcoin's realized capital at $936 billion, a metric signaling long-term holder conviction. Technical indicators, such as the “Inverted Ascending Scallop” pattern, suggest Bitcoin could target $148,000 or higher by late 2025, with institutions like Grayscale Bitcoin Trust (GBTC) seeing inflows rise by 5%.

Visa: The Payment Rail for Crypto's Future

Visa's Zacks Rank of #3 (Hold) masks its strategic advantage in crypto adoption. The company's earnings growth of 12.8% for 2025 reflects its expansion into stablecoin settlements on the Solana blockchain, partnering with merchant acquirers like Worldpay to streamline cross-border transactions. Visa's API integration with crypto platforms like Coinbase and Gemini positions it to capture a $1.5 trillion market in decentralized finance (DeFi).

While Visa's stock has lagged broader tech gains this year, its 1.3x price-to-earnings ratio relative to its 5-year average suggests undervaluation. The firm's $1.8 billion in crypto-related revenue by 2026—up from $500 million in 2024—could justify a re-rating, especially if Bitcoin's volatility settles.

NVIDIA: GPUs Power the Crypto-AI Nexus

NVIDIA's GPUs are the unsung heroes of Bitcoin's rise, driving both crypto mining and the AI infrastructure underpinning its value. Despite a Zacks Rank of #3 and near-term headwinds from China's H20 GPU export bans, NVIDIA's Blackwell architecture (e.g., GB200 supercomputers) is ramping up to meet soaring demand. The $13.5 billion projected revenue from Blackwell in Q2 2025 underscores its role as a leveraged play on Bitcoin's energy-intensive consensus mechanisms.

With earnings growth of 43.5% for 2025—driven by datacenter and gaming segments—NVIDIA's stock could rebound if Bitcoin's volatility eases. The firm's 20.5x forward P/E ratio remains below its 5-year average of 24.3x, offering a margin of safety. However, investors must monitor supply chain constraints and geopolitical risks, as 30% of NVIDIA's revenue comes from China.

PayPal: The Crypto Wallet for Mainstream Adoption

PayPal's Zacks Rank of #3 belies its crypto potential. The firm's 9% earnings growth for 2025 aligns with its push to integrate crypto into its 445 million-user ecosystem. Venmo's crypto buying feature—used by 12 million customers—positions PayPal to capture a share of Bitcoin's $1.2 trillion retail market.

While PayPal's stock trades at 18.7x forward earnings—near its 5-year average—its crypto revenue could triple to $2.3 billion by 2026 if Bitcoin's adoption accelerates. Regulatory clarity, particularly on staking-enabled Ethereum ETFs, will be critical to sustaining this momentum.

Risks and Volatility: Fed Policy and Regulatory Overhang

The Fed's path remains a wildcard. While markets now price in 75 basis points of 2025 rate cuts, a resurgence in core inflation (driven by tariff-affected goods) could delay easing, pressuring Bitcoin and its beneficiaries. Regulatory risks—such as SEC lawsuits against crypto ETFs or China's crypto crackdown—add to near-term uncertainty.

Investment Thesis: Buy the Dip, Mind the Fed

Visa, NVIDIA, and PayPal offer asymmetric upside as Bitcoin's macro tailwinds solidify. Their Zacks #3 rankings suggest they're neither overbought nor overlooked, creating a sweet spot for accumulation. Investors should:
- Dollar-cost average into Visa and PayPal, using dips below their 200-day moving averages as entry points.
- Monitor NVIDIA's Blackwell ramp-up and geopolitical risks, with a preference for buying on China-related dips.
- Set tight stop-losses given Bitcoin's 50%+ volatility in 2025.

Conclusion

Bitcoin's rally isn't just about speculation—it's a structural shift toward digital assets, and these three stocks are its gatekeepers. While macro risks and Fed policy remain hurdles, their undervaluation and earnings momentum make them strategic picks for investors willing to endure short-term volatility. As Bitcoin approaches $120,000, the real winners may not be the coin itself but the financial tech giants enabling its future.