Crypto-related stocks jumped Wednesday after pro-crypto remarks by the US president helped lift Bitcoin and the broader crypto market.
Bitcoin treasury company Strategy (MSTR) climbed more than 10%, Coinbase gained over 14%, miner Hut 8 rose 13.89% and American Bitcoin Corp advanced 11.65%.
Dominick John, an analyst at Zeus Research, said the prospect of clearer regulation is helping drive the rally. “Crypto equities are rallying as regulatory risk is being fundamentally redefined. With the executive branch championing a clear digital asset framework, coupled with robust spot ETF inflows and the potential passage of the Clarity Act,” he said. “The trend will persist as regulatory clarity strengthens and institutional flows accelerate. With policy risk receding and product demand expanding, crypto equities have room to reprice higher in the medium term.”
Wall Street regulators have moved forward with oversight plans: the Commodity Futures Trading Commission filed a regulatory review for prediction markets, and the U.S. Securities and Exchange Commission submitted a pending application related to federal securities laws and certain crypto transactions.
Trump’s statements helped buoy crypto
Pav Hundal, lead analyst at Australian crypto platform Swyftx, noted that President Donald Trump’s criticisms of banks and his push for the Senate’s crypto market-structure bill could be contributing to the gains. At a White House press conference, Trump said the U.S. wants to be dominant in crypto. “The market is putting a policy premium in the tape right now, and it is inflating crypto stocks,” Hundal said. He added that Coinbase is “the cleanest large-cap expression” of the potential policy shift in U.S. equities.
Rally could still cool on bad news
The broader crypto market also spiked: Bitcoin rose about 7.6% in 24 hours to trade near $72,866, while Ether gained more than 8.3% to around $2,132, according to CoinGecko. Hundal warned that if expected regulatory progress stalls or if Bitcoin falls, the stock rally could reverse. “Crypto stocks are obviously rallying on the expectation of political progress, and there is no reason that couldn’t continue. But things change quickly with this White House. If we see this regulatory debate go stale, or hit a wall, or Bitcoin is hit, it’s not hard to imagine a correction,” he said.
“Coinbase is pricing policy optionality, miners are pricing operating leverage on the leading asset by market capitalization in the sector. It works while BTC holds up, and can still unwind fast if this momentum hits a snag.”
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