3 Crypto Stocks Bitcoin Bulls Can Buy Now

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Although cryptocurrencies such as Bitcoin have put investors on a wild ride in 2021, these intriguing digital assets continue to gain attention and have recovered well from the sell-off at the start of this year. Bitcoin, in particular, has done better in recent weeks as it broke above the $ 40,000 mark and is on the verge of recovering its 200-day moving average. This could lead to more benefits for companies exposed to bitcoin, as they tend to trade in tandem with the price action of major cryptocurrencies.

While some traders might be hesitant to increase their exposure to cryptocurrencies at this time given the potential for crypto tax changes in the upcoming U.S. infrastructure bill, how many of the most common crypto stocks popular behaves in the market could help allay these concerns. . These companies offer an attractive way to gain exposure to cryptocurrencies through stocks and could be poised to experience a strong outperformance in the coming weeks.

That’s why we’ve put together a quick list of 3 crypto stocks that bitcoin bulls can buy right now. Continue reading below to find out more.

First, we have Coinbase, a name that probably doesn’t need to be introduced to investors familiar with cryptocurrencies. As the largest cryptocurrency exchange in the United States, it is a company that is a real powerhouse in the industry and has a lot of potential for growth as digital currencies continue to gain traction. in the financial world. What’s interesting here is that Coinbase generates income and transaction fees every time a user invests, spends, sends or receives crypto assets on their platform. This means that as the volume of transactions increases, so does the company’s income, which is why this is such an intriguing action for bitcoin bulls.

If you haven’t bought Coinbase after its high-profile IPO, maybe now is the time to add some shares as the stock appears to have bottomed out in May and is currently breaking out of its base. post-IPO. There is also a lot to appreciate about the company’s upside potential if it can diversify its income and create more offerings for institutional investors. Coinbase will release its eagerly awaited second quarter results on August 10, which could be another powerful catalyst for the stock to watch.

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Silvergate Capital Corp (NYSE: SI)

Cryptocurrencies are fascinating because they literally create a whole new financial ecosystem. This is a good reason to consider Silvergate Capital as it is the leading provider of innovative financial infrastructure solutions and services in the digital currency industry. The company designed the Silvergate Exchange Network, which is a network of digital currency exchanges and digital currency investors that allows the movement of cryptocurrencies like Bitcoin and can clear transactions in US dollars.

If you are optimistic about the prospects for Bitcoin and believe that institutional demand for cryptocurrencies will only increase in the future, it makes perfect sense to add shares of this company. With 771 institutional clients and more, Silvergate’s network is growing rapidly and attracting many new clients. Keep in mind that as deposits increase, the company will benefit from more interest income and income in the long run. In the second quarter, Silvergate Capital reported net income of $ 20.9 million, up 64.5% year-over-year, and accepted an impressive $ 4.3 billion in new deposits. The Silvergate Exchange Network also processed $ 239.6 billion in U.S. dollar transfers in the second quarter, up 44% year-on-year, and confirms that the company is currently enjoying record volumes.

I’ve mentioned before why Square is a great fintech stock to own for the long haul, which includes the company’s strategic shift to traditional banking, tons of momentum with the company’s Cash App service, and a big advantage if it can expand internationally. However, another good reason to consider adding stocks, especially if you are a bitcoin bull, is the fact that Square has invested significant capital in bitcoin and is one of the first large public companies to own the. cryptocurrency on its balance sheet. Square CEO Jack Dorsey is one of bitcoin’s most prominent bulls, and his actions say a lot about the importance of the role the company could potentially play in the crypto economy.

There’s a lot to like about how Square allows customers to send and receive bitcoin on its Cash app without paying transaction fees, which is certainly appealing to retail cryptocurrency enthusiasts. The company also generated $ 2.72 billion in Bitcoin revenue in the second quarter, roughly 3 times more year over year, and continues to take exciting new steps to expand its product portfolio. With stock trading around historic highs, Square could be a great way to play both the crypto rally and the rise of decentralized finance.

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