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Bitcoin is back in the green, up by $871.86, this morning – which would explain why shares of Strategy are up $3.
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Up about $3.25 in premarket, Coinbase was another casualty of the Bitcoin pullback. However, much like we’re seeing with MSTR, COIN is going along with the Bitcoin bounce.
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Analysts at Morgan Stanley just upgraded Roku to an overweight rating with a price target of $135 from $85.
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Over the last few months, Bitcoin plummeted from about $125,000 to a low of $87,256. All thanks to a combination of macroeconomic factors, risk-off sentiment, profit taking, and an overall change in market sentiment on fears of a non-existent AI bubble.
Unfortunately, it wasn’t just Bitcoin that took a hit on those catalysts.
Related stocks, like Strategy(NASDAQ: MSTR), plummeted from $360 to a low of $162.
After all, where Bitcoin goes, MSTR will travel.
However, Bitcoin is again showing signs of life, tacking on about $817 this morning, which just sent shares of MSTR up about $5.23 on the day. Fueling momentum, MSTR still believes Bitcoin could head higher again, which would explain why the company just bought another $980 million worth of Bitcoin on the pullback.
Helping, analysts at Bernstein, which now has a $450 price target on MSTR, reiterated its outperform rating on the stock. The firm also believes that concerns about the company are overdone, especially given its over-collateralized balance sheet and 21 months of cash reserves, as noted by Investing.com.
Plus, those fears of losing its status on the Nasdaq 100 are over.
Just days ago, MSCI was considering excluding public companies where more than 50% of their assets are tied to digital assets. Fortunately, MSTR was able to hold its spot and live another day.
Last trading at $162.08, we’d like to see MSTR retest $220 again before the end of the year.
With Bitcoin perking up, Coinbase Global (NASDAQ: COIN) is, too.
Up about $4, it was another casualty of the Bitcoin pullback. However, much like we’re seeing with MSTR, COIN is bouncing back on the Bitcoin bounce. Even better, there’s also news that Cathie Wood’s Ark Invest bought another $16.26 million worth of COIN stock, which should wake up quite a few investors.
Recent earnings weren’t too shabby either. In its third quarter, its EPS of $1.44 beat by 27 cents. Revenue of $1.87 billion, up 54.5% year over year, beat by $70 million. Plus, not long ago, analysts at H.C. Wainwright initiated a buy rating on COIN with a price target of $425 a share.
