Key Insights
- •The crypto stocks are in focus as MSTR stock eyes the $300 mark after weeks of experiencing downtrends.
- •CRCL stock shows resilience, with a 2.77% increase in pre-market trading.
- •HOOD surges across monthly and yearly timeframes.
The crypto stocks and the broader market are showing signs of recovery after a volatile weekend. Bitcoin (BTC) price has reclaimed $111,000 after increasing by 4.5% in 24 hours. Top altcoins like Ethereum (ETH), Binance Coin (BNB), and XRP also resumed momentum. As the broader market stabilizes, some crypto stocks have shown strong long-term potential signals. The top three crypto stocks spotlighted for the week are MicroStrategy (MSTR), Circle (CRCL), and Robinhood (HOOD).
MicroStrategy (MSTR) Stock Surge in Pre-Market Trading
MicroStrategy stock (MSTR) is currently exhibiting a bullish momentum after recently facing volatility earlier this month. On October 10, the value of MSTR dropped 2.7% to $311.37, amid stock bubble concerns and Bitcoin weakness. Analysts also suggested that the crypto stock could fall to the $250 level. Aligning with predictions, MSTR stock slipped further, dropping to $296.76 on October 16. Analysts attributed the underperformance of MSTR to the declining prices of Bitcoin as investors lost faith in the market.
With Bitcoin gradually showing signs of recovery, MSTR appears to have picked up steam. According to Google Finance data, MSTR is currently priced at $297.25, reflecting a 24-hour increase of 2.12%. Also, MSTR stock surged 3.49% in pre-market trading to $300. MicroStrategy continued to show resilience, with a 32.3% gain over the past year. Moreover, MicroStrategy remains the top Bitcoin corporate holder, with a total of 640,250 BTC. These holdings give MSTR an edge when the BTC price climbs higher.
Crypto Stocks: Circle (CRCL) in Rebound Mode
As of this writing, Circle (CRCL) stock has surged 2.77% in pre-market trading. However, CRCL is now up 3.68% over the past 24 hours to $131.10. The CRCL crypto stock has a daily price range of between $123.09 – $127.76, with the market cap pegged at $29.09 billion.
Circle reported a Q2 revenue of $658 million, surpassing analyst expectations of $647 million. In response, Circle introduced Arc, a new blockchain protocol aimed at expanding its stablecoin business. The company also revealed plans to partner with Deutsche Börse Group. The core goal is to bring its USDC and EURC stablecoins into European markets. This expansion gives Circle an edge against Bitcoin’s volatility. Using a 10-year discounted cash flow model, Bernstein analysts forecasted a $230 target for CRCL. The analysts also predicted that the total stablecoin supply will grow to $4 trillion over the next decade.
Crypto Stocks Influence on Robinhood (HOOD)
Robinhood (HOOD) stock is currently trading at $135.77. According to Google Finance data, HOOD has increased by 4.51% at the time of writing. This rally aligns with broader market sentiment, though volatility remains high due to the price fluctuations of the BTC price.
The HOOD crypto stock has exhibited resilience, with the price increasing by 4.02% over the past month. Additionally, HOOD surged 226% over the past 6 months and 248.66% year-to-date (YTD). Analysts projected a possible path to $230 for HOOD on revenue growth and margin gains. On August 13, Robinhood reported strong July operating figures. Robinhood reported total platform assets of $298 billion, and net deposits for the month were $6.4 billion.
On September 22, Robinhood will officially join the S&P 500 index. This announcement worked wonders for the Robinhood stock price. The stock jumped 17% in just five days to $118.50, with targets set at $150. Meanwhile, Robinhood also revealed plans to keep users tied to its app for years. To do this, the company started rolling out credit cards with crypto rewards, which could attract younger customers.