The mixed performance highlights the resilience and challenges of Bitcoin ETFs and stocks.

quick take

Since the Bitcoin ETF was approved on January 11, the digital asset’s price performance has shown an unpredictable pattern, peaking near $49,000 and then falling below $40,000. The current Bitcoin price is around $48,000. This volatile behavior extends to cryptocurrency stocks and Bitcoin ETFs, which have shown mixed performance.

Bitcoin-related mining stocks such as Iris Energy and Marathon Digital Holdings recorded double-digit declines of 11% and 12%, respectively. But not all stocks mimic this downward trajectory. For example, shares of CleanSpark and MicroStrategy soared 31% and 11%, respectively. Meanwhile, Coinbase suffered a 6% decline and is scheduled to release its fourth quarter 2023 earnings report on February 15th.

Due to Bitcoin’s slight decline since the ETF’s approval, the Bitcoin ETF has fallen about 3%, while GBTC has remained relatively flat. According to YCharts, GBTC is currently trading at a small premium to net asset value (NAV) of 0.02%. Nonetheless, Bitcoin’s recent resurgence above $48,000 has injected optimism into pre-market markets, with many ETFs and cryptocurrency stocks rising.

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