SQ - DAPP: Crypto Stocks Lose Some Luster In 2024 As New ETFs Capture The Spotlight
2024-06-01 11:44:51 ET
Summary
- Bitcoin and other cryptocurrencies have had a strong year so far, both in terms of absolute returns and positive net inflows.
- The VanEck Digital Transformation ETF (DAPP) has underperformed the Information Technology sector and S&P 500, though, as investors' attention seems focused on spot Bitcoin and Ether funds.
- DAPP's valuation has improved, but its top-heavy allocation is a risk as price consolidates.
- I highlight key price levels to monitor on the chart heading into two often-strong months for bitcoin, which could bode well for DAPP.
It has been another banner year for Bitcoin and other cryptocurrencies. With the SEC’s approval of 11 spot Bitcoin ETFs back in January and the subsequent sign-off on Ether funds recently, flows into coins and tokens remain robust. Still, after a rapid run-up, Bitcoin’s rally has paused close to where it topped out at in late 2021. Some of the shine has also been taken off of crypto-related stocks as AI stays in the spotlight. ...
DAPP: Crypto Stocks Lose Some Luster In 2024 As New ETFs Capture The Spotlight