- Coinbase and MicroStrategy shares are surging as bitcoin climbs above $88,000. MicroStrategy stock hit a record high of $351, while Coinbase shares surged 20%.
- Both companies gained from Bitcoin’s historic price peak, with MicroStrategy leveraging its treasury strategy and Coinbase benefiting from ETF custody roles.
Coinbase and MicroStrategy shares are surging as bitcoin climbs above $88,000. MicroStrategy’s stock soared nearly 26% on Monday, hitting a record high of $351 before closing at $340. The Virginia-based software firm, which holds the largest corporate Bitcoin treasury, revealed a new acquisition of 27,200 BTC worth over $2 billion between October 31 and November 10, bringing its total holdings to 279,420 BTC valued at $24.3 billion.
Meanwhile, Coinbase shares climbed 20% to close at $334.24, marking an 84% increase over the past month. Analysts are bullish on the San Francisco-based company, forecasting a 12-month target of $380 as the exchange benefits from its role as a custodian for major Bitcoin ETFs, including BlackRock’s.
MicroStrategy’s stock performance has outpaced Bitcoin itself, which has risen 97% year-to-date. The company’s decision to raise $42 billion over three years to purchase more Bitcoin underscores its commitment to leveraging digital assets.
“Our focus remains to increase value for our shareholders by leveraging the digital transformation of capital,” said Phong Le, MicroStrategy’s CEO, in a recent statement.
Coinbase has also been buoyed by investor enthusiasm following President-elect Donald Trump’s victory. Trump’s pro-crypto rhetoric, including promises to position the U.S. as the “crypto capital of the planet,” has spurred what analysts call a “Trump trade,” driving up tech and crypto stocks.
As Bitcoin reached a peak of $88,364 on Monday before a slight dip, both MicroStrategy and Coinbase demonstrated the increasing influence of the cryptocurrency market on traditional equities. With MicroStrategy leveraging its Bitcoin strategy and Coinbase positioning itself as a cornerstone for institutional crypto adoption, these companies exemplify the growing integration of digital assets into the broader financial ecosystem.
