10x Research: Crypto Stocks Breaking Away from Bitcoin's Lackluster Performance, Increased Regulatory Clarity Driving Strong Market Demand

BlockBeats News, June 8th, 10x Research stated in a post that Bitcoin is below the 7-day moving average (bearish) but above the 30-day moving average (bullish). The price change for the week is a 2.5% decline, partly due to a $3.08 billion long position liquidation following Musk and Trump's public dispute. The uncertainty in U.S. trade policy and a cooling labor market also added pressure to Bitcoin, keeping its price steady at $105,100. Institutional demand remains strong, with $9 billion flowing into U.S. Bitcoin spot ETFs in five weeks. However, profit-taking by long-term holders has increased, putting downward pressure on the price.

The market is beginning to realize that crypto stocks are outperforming Bitcoin's lackluster performance. The total market value of publicly traded crypto companies has now exceeded $300 billion, with institutional capital making directional bets. High-profile events like Circle's anticipated IPO and Robinhood's surge in cryptocurrency revenue point to a structural shift, as retail investors are shying away from direct Bitcoin purchases due to high prices and are instead chasing Bitcoin exposure through cheaper crypto stocks. While Circle's valuation may seem high, the success of its IPO reflects strong demand driven by increased regulatory clarity. A simple regression analysis indicates that Coinbase's stock price is currently 18% below fair value. Robinhood is maintaining a strong upward trend, and Galaxy Digital may also be undervalued.