Crypto Stocks Rally as Bitcoin Surpasses $66K
On October 14, Bitcoin surged 6% to $66,400, prompting significant gains among U.S. crypto-linked stocks. CleanSpark led with a 12.72% increase, followed by Coinbase at 11.3%. Other miners also saw gains, while MicroStrategy and Core Scientific encountered declines. Analysts are speculating on the onset of a bullish trend known as ‘Uptober’, as Bitcoin prices surpass key support levels, raising hopes for a price breakout above $70,000.
On October 14, publicly traded firms linked to the cryptocurrency sector in the United States experienced notable gains, coinciding with a significant rally in Bitcoin’s price, which surged by 6% to reach $66,400, marking its highest value since July 30. CleanSpark (CLSK), a Bitcoin mining company, emerged as the top performer of the day, closing with a 12.72% increase at $10.81, followed by an additional gain of 1.72% in after-hours trading, elevating its price to $11. Coinbase (COIN), the renowned cryptocurrency exchange, achieved an 11.3% gain, closing at a seven-week high of $196.35 and further climbing to $199.70 in after-hours trading. Other performers in the mining sector included IREN (IREN), which recorded a gain of 10.21%, while TeraWulf (WULF) and Marathon Digital Holdings (MARA) noted gains of 6.65% and 5.6%, respectively. Semler Scientific (SMLR), a medical manufacturing firm that adopted a similar Bitcoin investment strategy as MicroStrategy, traded flat during the day but experienced a post-market increase of 4.3%. Block Inc., a firm involved in digital payments, saw an uptick of 2.8%. Conversely, MicroStrategy (MSTR), which holds a substantial Bitcoin reserve, saw a decline of 5.1%, closing at $201.67 but slightly recovering to $205 in after-hours trading. Core Scientific (CORZ), another Bitcoin mining entity, fell by 1.9% to $12.97 but managed a minor recovery post-market. This rally and the after-hours gains followed a 5.7% increase in Bitcoin’s price over the previous 24 hours, prompting speculation among industry analysts regarding the potential onset of a bullish trend termed “Uptober.” On-Chain College highlighted that Bitcoin had surpassed its 200-day moving average and the short-term holder cost basis of $62,600, both critical support levels indicating a possible bullish market breakthrough. Additionally, Dan Tapiero, founder of 10T Holdings, emphasized that Bitcoin is nearing a significant breakthrough to $70,000. The term “Uptober” refers to a historically bullish month for Bitcoin, with price increases noted in nine of the last eleven Octobers, often signaling strong fourth-quarter performance. Experts attribute the optimism not only to the seasonal trend but also to upcoming events such as the 2024 Bitcoin halving and the upcoming U.S. elections, which may drive the price toward its all-time high of $73,738, set on March 14. Currently, Bitcoin is trading at $66,270, reflecting a 10.4% decrease from its historical peak.
The performance of crypto-linked stocks often mirrors the fluctuations in Bitcoin’s price, which is perceived as a barometer for the overall cryptocurrency market. The month of October, referred to as ‘Uptober’ by market analysts, has traditionally demonstrated a positive trend for Bitcoin, making it a focal point for traders and investors. The correlation between Bitcoin and the prices of publicly traded crypto companies highlights the interconnected nature of the cryptocurrency market with traditional financial markets. Furthermore, significant upcoming events, such as the Bitcoin halving scheduled for 2024 and political developments within the U.S., have been identified as potential catalysts for future price movements in Bitcoin and related assets.
In summary, the gains observed in crypto stocks on October 14 were largely influenced by Bitcoin’s price rally reaching $66,400, the highest since July. This upward movement has reignited interest and speculation regarding a bullish October, characterized by solid historical performance for Bitcoin. While most crypto-linked firms celebrated notable gains, some entities like MicroStrategy and Core Scientific faced slight declines. Market analysts remain optimistic about Bitcoin’s potential to breach its all-time high, fueled by impending events and positive trends from previous October performances.
Original Source: cointelegraph.com
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