By George Glover
Crypto-related stocks were rising in Monday's premarket as investors turned bullish on digital assets in the aftermath of Donald Trump's election win.
Shares in exchange Coinbase Global jumped 17.1% to $317 ahead of the opening bell. Online trading platform Robinhood Markets climbed 10.3% to $33.40, and Bitcoin holder MicroStrategy was up 12.2% to $303.53. Futures for the benchmark S&P 500 index rose 0.3%.
The moves higher came as Bitcoin surged above $82,000 to record highs early Monday. When digital asset prices are higher, platforms like Coinbase and Robinhood can make more money from trading fees.
But investors also see Trump's win as good news for the crypto industry. The president-elect promised over the summer that he would set up a strategic Bitcoin reserve and replace Securities and Exchange Commission Chair Gary Gensler, who has taken an aggressive approach to cryptocurrencies.
The Republicans also regained control of the Senate last week, which is also bullish for crypto platforms. Sen. Tim Scott (R., S.C.) is expected to become the new chair of the upper chamber's Banking Committee, and he wants to draft a new regulatory framework that would cut red tape for crypto trading and custody companies like Coinbase.
Like Trump, Scott has repeatedly criticized Gensler for cracking down on crypto. In July, he said he'd tell Gensler to "hit the road" as soon as he became the Banking Committee chair.
Write to George Glover at george.glover@dowjones.com
This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
November 11, 2024 06:09 ET (11:09 GMT)
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