Bitcoin Price Surges Past $30,000; MicroStrategy BTC Bet Returns To Profitability

The price of Bitcoin rallied late Monday, surpassing $30,000 for the first time since early June after a quiet holiday weekend. The advance sent cryptocurrencies climbing higher with ethereum reclaiming the $1,900 level. Meanwhile, MicroStrategy’s bitcoin bet got back in the black.

X

Bitcoin surged more than 6.3% over the past 24 hours to peak at $30,403 overnight, settling around $30,100 early Tuesday. Markets reacted to the latest inflation data from China. They showed consumer prices rose 0.7% year-over-year for March, the slowest increase since September 2021.

The United States releases its CPI report on April 12. The government’s March jobs report slightly missed Wall Street expectations last Friday.

The world’s largest cryptocurrency, Bitcoin has rocketed 81% so far this year following the FTX collapse last November. The bitcoin price vaulted 20% in March and 38.7% in January. Further, it has traded in the $28,000 range since March 20.

Bitcoin Price Down 55% From All-Time Highs

Major cryptocurrencies, barring stablecoins, proved to be safe heavens during the recent banking panic. Some experts forecast bitcoin to retest record highs this year as adoption picks up overseas.

Still, the bitcoin price is down roughly 55% from its all-time highs near $68,000 from November 2021.

Ethereum rallied roughly 3.5% over the past 24 hours, trading around $1,920 as of Tuesday morning. The No. 2 crypto surpassed $1,900 on April 5 for the first time since mid-August. It peaked at $1,941 to mark an eight-month high.

Ethereum is gaining steam ahead of its Shanghai upgrade on April 12. The upgrade will complete its transition to proof-of-stake network from a proof-of-work network. Further, it rose 10.6% in March and has bolted 60.4% year-to-date.

Effects On Cryptocurrency-Related Stocks

Heavy BTC buyer MicroStrategy (MSTR) opened 2.5% higher Tuesday after climbing 3.3% premarket and leaping 7.82% Monday as the bitcoin price rallied. Microstrategy’s bitcoin investments are back in the black after the recent swing.

The software seller purchased approximately 140,000 bitcoin for $4.17 billion. That worked out to an average price of $29,803 per bitcoin including fees and expenses.

MicroStrategy co-founder and chairman Michael Saylor tweeted “Bitcoin is Champion,” Tuesday morning after the advance. Saylor, a bitcoin maximalist that initiated MicroStrategy’s crypto investments, stepped down as chief executive last August. That came after the company’s impairment charge of nearly $920 million on bitcoin holdings in the second quarter.

MSTR stock is up roughly 65% over the past three months and rocketed more than 120% year-to-date.

Coinbase Keeps Jumping

Coinbase (COIN) raced 3.2% higher Tuesday morning following its 7.6% jump Monday. CEO Brian Armstrong announced Coinbase will eventually integrate the bitcoin Lightning network on April 8, which will enable faster and cheaper BTC transactions than the base network. Armstrong did not provide details or a timeline on when the integration will occur.

COIN stock has spiked 53% over the past three months and 87% so far this year.

Bitcoin miner Marathon Digital (MARA) jumped 3% at Tuesday’s opening bell following its 14% rally Monday. Hut 8 Mining (HUT) bolted 7% higher after the open. Shares leapt 9.5% Monday.

The bitcoin-linked ProShares Bitcoin Strategy ETF (BITO) opened Tuesday up 3.3% and climbed 4.7% Monday.

You can follow Harrison Miller for more stock news and updates on Twitter @IBD_Harrison

YOU MAY ALSO LIKE:

Cryptocurrency Prices and News

What Is Cryptocurrency?

Get Stock Lists, Stock Ratings And More With IBD Digital

Find Stocks To Buy And Watch With IBD Leaderboard

Identify Bases And Buy Points With MarketSmith Pattern Recognition