Crypto stocks surge alongside Bitcoin price rally
Crypto stocks experienced a rally on July 15, alongside Bitcoin, in a market move attributed to former President Donald Trump’s increasing odds of winning the United States presidential election in November.
The price rallies primarily affected mining stocks such as Marathon Digital (MARA), Riot Platforms (RIOT), and CleanSpark (CLSK), which gained 17%, 16%, and 16.2%, respectively.
Additionally, shares of Coinbase (COIN) rose by 11.4%, and MicroStrategy (MSTR), the company of Bitcoin ( BTC ) maximalist Michael Saylor, soared by 16.7% at the time of this writing.
Political tumult and the 2024 Presidential election
A thwarted assassination attempt on former President Trump over the weekend boosted the pro-crypto candidate’s odds of winning the 2024 election on popular online betting platforms. Trump’s potential 2024 re-election is perceived as a bullish sign by speculators and investors.
2024 Presidential election odds. Source: PolymarketRelated: Spot Bitcoin ETFs see highest flow day in over 5 weeks
Following the assassination attempt, the Republican candidate announced he would still attend and speak at the upcoming Bitcoin conference in Nashville, Tennessee, on July 27.
Political events aside, it should also be noted that the German government concluded its sales of Bitcoin on July 12, alleviating selling pressure and acting as a catalyst to drive prices higher over the weekend.
Bitcoin ETFs see large inflows
Data from the latest CoinShares flows report , dated July 15, revealed Bitcoin exchange-traded funds, products, and trusts experienced large inflows over the weekend. Bitcoin investment vehicles attracted $1.35 billion in capital, primarily driven by investors in the United States.
During Bitcoin’s price decline over the last several weeks, institutions bought the dips created by the German government’s massive BTC sales and the fear, uncertainty, and doubt created by news of the Mt. Gox reimbursement plan .
On July 15, BlackRock CEO Larry Fink, the world’s largest asset manager, appeared on CNBC to explain his change of heart regarding Bitcoin, calling the supply-capped asset “digital gold" and a “legitimate" financial instrument.
On the supply side, the political and institutional tailwinds signaling greater Bitcoin adoption by state and corporate entities are corroborated by US-based miners hodling Bitcoin in anticipation of future price increases.
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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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