It’s likely no surprise to anyone to find that Bitcoin (BTC-USD) has been wildly volatile of late. Most cryptocurrencies have been, and are, except for those who don’t see a lot of trading in general. But Bitcoin stocks also took something of a hit in today’s trading, as Bitcoin funds see major new outflows on the pace of recent gains.
Reports from CoinShares noted that the funds following Bitcoin saw the biggest outflows since March, which was a fairly rough month for cryptocurrency as it was. Those funds saw $111 million worth of capital bail out. The week before, those same funds saw $21 million worth of capital removed, so it’s clear something is ramping up. And it wasn’t just Bitcoin, either; Ethereum (ETH-USD) and others also saw outflows to the tune of $107 million. However, there are signs that sentiment in the altcoin market—coins that aren’t the most popular or widely-held—is improving overall.
Cryptocurrency stocks also took a hit on the massive outflows. Microstrategy (NASDAQ:MSTR), who built a massive Bitcoin hoard to the point that fluctuation in Bitcoin prices caused Microstrategy stock to change, lost 1.89% at one point in Monday’s trading. Coinbase (NASDAQ:COIN), the premiere cryptocurrency exchange, lost fractionally. And Marathon Digital (NASDAQ:MARA) lost a whopping 4.6% in Monday afternoon’s trading. The losses were widespread, though the amounts involved varied wildly as well, showing that a rising tide may lift most boats, but an ebbing tide sinks many of them too.
Interestingly, Microstrategy—the Strong Buy-rated stock hit second hardest by these developments—is the strongest proposition of the three. With an average price target of $508.25, it comes with a 37.42% upside potential. Meanwhile, Coinbase, rated only a Hold, boasts a 5.66% downside risk thanks to its average price target of $81.79.
