Crypto-stocks drop as Bitcoin corrects – buy the dip or wait?

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Last Updated on 8 July 2024 by CryptoTips.eu

Some of the most important crypto-related stocks have fallen in recent days just as Bitcoin undergoes a correction. Ever since the new ATH of $74,000 in March, Bitcoin has already dropped more than 30%, impacting several companies on Wall Street.

MicroStrategy, Robinhood, Mara, Riot and Coinbase, among others, are seeing their stock values drop. Should you buy the dip or is it better to wait and see?

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MicroStrategy

Bitcoin fan Michael Saylor’s investment company has had a bad month. Although the company’s share price is still up more than 85% since the beginning of this year, it has gone downhill steeply in the last month, with a loss of some 20%. Nothing to worry about yet but the Bitcoin correction cannot last all summer for MicroStrategy.

Bitcoin mining companies

Crypto is very popular in the United States, which therefore also has many Bitcoin mining companies. The best known are Riot Platforms, Marathon Digital and CleanSpark. They are all trying to adapt to Bitcoin’s new hashrate after the halving, and have all announced to be selling their Bitcoins fast in recent weeks in order to adapt to the new post-halving reward. Except for Cleanspark, most US Bitcoin mining companies are going through tough times in 2024.

Coinbase

The largest American crypto platform is having a very good year on the stock exchange, especially due to the popularity of the Bitcoin ETFs. Although it is still not trading at its 2021 launch price, it has made up a lot of lost ground since last year.

CEO Brian Armstrong admitted that the last few weeks have been difficult as Bitcoin is undergoing a correction, but he remains very positive about the future of crypto. He hopes for a positive political climate for crypto (aka a victory for Donald Trump during the presidential elections) to turn the tide.

Summary

Microstrategy and Coinbase may seem cheap at the moment, but pay close attention to the price of Bitcoin as those shares are directly correlated with the price of the largest digital currency.

Bitcoin mining companies will likely need more time to adapt to Bitcoin’s post-halving realities.

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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