Bitcoin (BTC) price has dropped significantly since January, but not as bad as traditional crypto stocks. The leading crypto asset has lost slightly more than 50% this year but crypto stocks such as Coinbase are down more than 70% at the same time.
On the year-to-date (YTD) chart, BTC outperformed traditional crypto stocks in 2022 by up to 22%. MicroStrategy (MSTR) leads crypto-related stocks, losing 36% more than the King coin.
How Major Crypto Stocks Performed This Year
A look at how top crypto-related stocks performed in 2022;
MicroStrategy’s stock MSTR has led other crypto-related stocks in price performance this year. MSTR started the year at $576 but has fallen to $248, down 55.52% in 2022. The stock fell as much as 30% in June. However, in August, it surged more than 14% just after the company reported a $1 billion loss in its second quarter (Q2) earnings call.
Block Inc. (SQ)
Shares of fintech company Block (SQ) formerly known as Square, which was trading at $164 in January have since dropped 61.52% this year. At the time of writing, the stock was trading at $61.67 down by 0.77% in the last 24 hours. The stock’s sharp decline stemmed from rising interest rates and other macroeconomic factors. SQ was also reportedly downgraded by some analysts from a buy rating to neutral.
Shares of Coinbase Global (COIN) plummeted more than 71% this year. The fall in Coinbase’s shares was due to reduced crypto trading activity on its platform, which stemmed from falling crypto prices since May/June.
Analysts at Goldman Sachs also downgraded COIN from neutral to sell, lowering the price target to $45. At the time of writing, the stock is currently trading at $72.10, down 1.19% on the day.
Bitcoin Shows Potential
Despite some investors opting for crypto stocks as they see it as a better and safer way to gain exposure to bitcoin, the leading digital asset continues to show its potential by outperforming traditional crypto stocks so far in 2022.
Meanwhile, Coinfomania reported a few days ago that bitcoin’s correlation with gold has recently hit a yearly high.
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