Crypto Stocks Surge as Bitcoin, Tech Sector Rebound
New York, U.S., March 25, 2025, Chainwire
Shares of companies involved in the cryptocurrency industry surged on Monday amid a rally in digital assets and other risk-on investments. The move came as investors grew more optimistic that the U.S. will scale back trade tariffs.
MicroStrategy Surpasses 500,000 Bitcoins
MicroStrategy, a Virginia-based software company, closed Monday up more than 10% at $335.72 a share, according to Nasdaq data. The company, which trades under the ticker 'MSTR,' is one of the largest institutional holders of Bitcoin. In a recent announcement, MicroStrategy said it had surpassed the 500,000 Bitcoin milestone after its latest purchase, now holding 506,137 Bitcoins worth $44.2 billion. The company has also raised capital through the sale of shares to continue supporting its digital asset purchases.
Bitcoin Trades Like Tech Stocks
According to Standard Chartered analyst Geoff Kendrick, Bitcoin is now trading similarly to tech stocks, with a high correlation between Bitcoin's price and the Nasdaq index. Kendrick has created a hypothetical index called "Mag 7B" that replaces Tesla with Bitcoin in the Magnificent 7 index, which includes major tech companies such as Apple, Microsoft, Nvidia, Amazon, Alphabet, Meta, and Tesla.
Coinbase and Bitcoin Miners Surge
The largest U.S. cryptocurrency exchange, Coinbase (NASDAQ: COIN), also posted a 7% gain Monday afternoon, hitting a price of $203.
Public Bitcoin miners also saw strong growth: CleanSpark (CLSK), a low-carbon mining company, rose more than 18% to trade at $8.79; Riot Platforms (RIOT) rose nearly 10% to $9.69; and MARA Holdings (MARA) was valued at $14.61 per share after rising 18%.
Tech and Crypto Markets Rebound Strongly
U.S. stock markets also surged on Monday after the White House signaled it would ease its tough stance on tariffs against trading partners. The tech-heavy Nasdaq Composite Index rose 2.2% in the session.
Bitcoin, the largest cryptocurrency by market capitalization, traded at around $87,350, up 2.2% over the past 24 hours, according to data from CoinGecko. Ethereum and Solana also gained more than 4% and 6%, respectively, over the same period.
Macroeconomic factors affecting the market
Earlier this month, the Consumer Price Index, a key measure of inflation, came in slightly lower than forecast, giving investors confidence that price growth would be contained and stagflation avoided.
While former President Donald Trump's pro-crypto policies have supported the industry, tariffs on countries like Mexico, China and Canada have raised concerns about the impact on the global economy.
Bitcoin hit a new record high of more than $108,000 after Trump took office, but the price has fallen in recent weeks, at times falling below $80,000. However, Trump has continued to support the cryptocurrency industry through policies and the creation of a special Bitcoin reserve.