The cryptocurrency market had a milestone year in 2024, marked by significant events such as the debut of spot Bitcoin ETFs, the latest Bitcoin halving in April, and increased political attention, including President-elect Donald Trump’s endorsement of Bitcoin. These developments provided new momentum to the market, leading to both tremendous growth and some operational struggles for crypto-related stocks.
While Bitcoin surged nearly 120% year-to-date, crypto-adjacent stocks like Robinhood and Block (formerly known as Square) also saw impressive gains. The S&P 500 appreciated 25% over the same period, but crypto stocks demonstrated an even more dramatic performance, with some soaring in value and others stumbling due to operational difficulties or market volatility.
Here’s a look at the best and worst-performing U.S.-traded crypto-related stocks in 2024 as of December 23:
The Best Performers
MicroStrategy (MSTR): +402%, $83 Billion Market Cap
MicroStrategy, traditionally a business intelligence firm, has become a key player in the cryptocurrency space as the largest corporate holder of Bitcoin. Throughout 2024, the company continued to expand its Bitcoin holdings, which as of December 23, amounted to 440,000 BTC worth over $40 billion. The firm’s aggressive strategy of buying Bitcoin during price dips has paid off handsomely, positioning it as one of the biggest beneficiaries of the cryptocurrency rally.
Core Scientific (CORZ): +307%, $3.9 Billion Market Cap
Core Scientific, a North American Bitcoin mining and hosting services provider, capitalized on the April Bitcoin halving by signing a series of long-term contracts with AI Hyperscaler CoreWeave. This strategic move gave Core Scientific a first-mover advantage, positioning it strongly in the market. The company’s stock performance reflected the positive impact of its contracts and growing operational capacity.
Terawulf (WULF): +142%, $2.15 Billion Market Cap
Terawulf, an infrastructure-focused Bitcoin mining company, has been a strong performer in 2024, with a 100% increase in its self-mining hashrate capacity to 10.0 EH/s by September 30. This expansion has positioned the company as a key player in the mining industry, contributing to its strong stock performance.
Hut 8 (HUT): +75%, $2.06 Billion Market Cap
Hut 8, a North American operator of Bitcoin miners and energy infrastructure, saw its stock rise after Cantor Fitzgerald gave it an “overweight” rating. The company has accumulated significant power capacity, providing it with “optionality” in terms of expansion. Despite a smaller mining capacity of 5.7 EH/S, Hut 8’s investments in energy infrastructure and power management have fueled investor confidence.
Bitdeer Technologies (BTDR): +122%, $2.75 Billion Market Cap
Bitdeer Technologies, a vertically integrated Bitcoin mining company, saw its stock rise due to its increasing focus on self-mining operations. The company plans to integrate a portion of the rigs it manufactures into its own mining fleet, which has been a key driver behind its positive performance.
Iris Energy (IREN): +65%, $2.4 Billion Market Cap
Iris Energy’s stock gained 65% in 2024, supported by a 33% increase in installed capacity. As of November, the company reached 28 EH/s in capacity and was also exploring new AI opportunities with the testing of NVIDIA GPUs. The expansion of its infrastructure and exploration of new tech avenues have made it a standout in the sector.
Coinbase (COIN): +69%, $66.5 Billion Market Cap
Coinbase, the largest cryptocurrency exchange in the U.S., saw its stock rise as the company authorized a $1 billion share repurchase program. With strong Q4 projections, including a revenue estimate of $2.1 billion and an EPS of $2.37, Coinbase’s continued dominance in the exchange space contributed to its positive performance in 2024.
Cipher Mining (CIFR): +28%, $1.8 Billion Market Cap
Cipher Mining, a Bitcoin mining company, has been steadily growing, with analysts noting that it’s “hitting its stride.” The company’s Odessa mining site and new site announcements to support high-performance computing have solidified its position in the market.
The Worst Performers
Canaan (CAN): -5%, $620 Million Market Cap
Canaan, a leading provider of Bitcoin mining hardware, was one of the few crypto stocks to experience a decline in 2024. Its stock fell by 5%, which is in stark contrast to the strong performance of its peers. The company’s struggles to maintain its competitive edge in the rapidly evolving mining hardware market have weighed on its stock price. Despite the overall cryptocurrency market rally, Canaan’s reliance on hardware sales and its exposure to mining difficulties have hindered its performance.
Conclusion: A Year of Extremes for Crypto Stocks
In 2024, cryptocurrency stocks saw extreme volatility, reflecting both the broader crypto market’s performance and company-specific factors. Companies like MicroStrategy, Core Scientific, and Terawulf have been beneficiaries of Bitcoin’s price surge and strategic business decisions, resulting in massive stock gains. On the other hand, Canaan struggled, failing to capitalize on the positive momentum seen in the sector.
The year has illustrated the growing importance of strategic decisions and infrastructure investments in the cryptocurrency market, particularly for mining companies and exchanges. While some companies excelled due to their market positioning and timely investments, others faced challenges that affected their stock performance. As the crypto landscape continues to evolve, the key will be adapting to emerging technologies and market trends to ensure continued growth and profitability.
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