SOS, MARA, RIOT: How Dogecoin Is Lifting Crypto Mining Stocks Today
It’s a hair-raising day for crypto mining stocks today, following news from Tesla’s (NASDAQ:TSLA) Elon Musk about Dogecoin (CCC:DOGE-USD). Indeed, the news has sent crypto mining stocks up across the board. Time Magazine’s recently declared “Person of the Year” is using his newfound attention to do something he probably would’ve done anyways: boost DOGE.
Musk announced on Twitter that his electric carmaker company, Tesla, will begin accepting Dogecoin as payment for select merchandise. Worth noting is how expansive Tesla’s merchandise selection is, ranging from $50 to $1,900. It’s currently unclear which items will be available for purchase via Dogecoin.
DOGE and its dedicated fanbase practically just wait for the next “Elder Doge” tweet to send crypto prices sky rocketing, and today, it delivered. And not only for Dogecoin, I might add.
Evidently, a number of crypto mining stocks seen stumbling Monday have found their footing today in wake of the news. SOS Limited (NYSE:SOS), Marathon (NASDAQ:MARA) and Riot Blockchain (NASDAQ:RIOT) are up 5.3%, 0.13% and 3.24%, respectively, at the time of writing. While each of the stocks are trending a bit below its Friday highs, the pupcoin news has spirits high.
So, what else do you need to know about the crypto uptick making waves this morning?
Crypto Mining Stocks Boom: A Return to Form?
It’s been a tumultuous holiday season thus far for many of the largest crypto miners. Since its November peak, Marathon has dropped nearly 51% as the greater Bitcoin miner market capitalization saw nearly equivalent losses.
As such, today’s news comes as a breath of fresh air for the stagnating crypto mining market. With regulation concerns coming to a head, it can be hard to see the forest for the trees as it pertains to bullish or bearish waves for crypto.
Despite the tangible gains, not everyone sees them as particularly consequential. Tom Martin, portfolio manager at Globalt Investment, sees the DOGE-fueled uptick as little more than news cycle fluff. “This is more or less noise at Tesla. I view it as being mercurial or just making fun.”
With that said, it’s not the only potential news lifting up crypto mining stocks today.
Investment banking titan J.P. Morgan recently upgraded its outlook on Australia-based renewable Bitcoin mining company, Iris Energy (NASDAQ:IREN).
J.P. Morgan analysts called the stock a “cheap way to play the digital gold rush.” J.P. Morgan rated IREN overweight, and set a one-year price target of $30, up significantly from it’s current $12.88 price. Surprisingly, Iris couldn’t grab onto the bullish wave today at all; it’s down 4.73% on the day so far.
On the date of publication, Shrey Dua did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.