MARA gains 4% as Bitcoin trades just below $57K – Crypto News – Crypto News
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MARA gains 4% as Bitcoin trades just below $57K MARA gains 4% as Bitcoin trades just below $57K

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MARA gains 4% as Bitcoin trades just below $57K – Crypto News

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  • Marathon Digital stock jumped 12% on Tuesday’s open as Bitcoin price has soared.
  • BTC gains 7% on Tuesday to reach above $57,000 for the first time since December 2021.
  • BTC halving is approximately 58 days away, leading the market to expect an uptrend.
  • Consumer Confidence and Durable Goods Orders leave the US market mixed.

 

Marathon Digital (MARA) stock is riding the Bitcoin price wave on Tuesday. MARA shot up more than 12% at Tuesday’s open, while Bitcoin (BTC) has advanced a solid 7% to $57,100 — its highest level since December of 2021 — before retracting to $56,900.

Marathon Digital, a Bitcoin and crypto miner in addition to other ventures, hit its highest share price since January 2022. However, MARA stock lost some of its luster as the session progressed, and its rally diminished to 4.4% at the time of writing.

The wider market is mixed on Tuesday after US Durable Good Orders and Consumer Confidence figures both underwhelmed economists’ consensus. The Dow Jones has sank 0.25%, while the NASDAQ and S&P 500 gained moderately. 

Marathon Digital stock news: Halving narrative helps spur Bitcoin price

Several narratives and news bites have joined hands to lift Bitcoin’s prospects of late. First, the advent of spot Bitcoin ETFs in January created a whole new doorway for the asset as money poured into at least 11 funds that have been approved by the Securities & Exchange Commission (SEC). Word is that more are on the way.

All this new capital means that spot Bitcoin ETFs now account for 40% of the value of all Gold ETFs in just under two months. The ETFs make it easier for large investors to seamlessly invest in Bitcoin in the same way they would equities. Some ETF experts are already saying that Bitcoin ETFs will surpass the value of Gold ETFs in just two years. 

Then despite Bitcoin conquering the $50,000 level in just the past month, MicroStrategy (MSTR) announced it would spend $155 million on acquiring another 3,000 BTC. This was a sign of confidence from the software corporation that has pinned its entire legacy to the king of crypto coins. 

Additionally, the entire crypto ecosystem is staring with suspense as the calendar ticks inevitably toward the next Bitcoin halving. The current estimate based on mining hash rates is that the halving will commence in 58 days. This means that the current block reward handed out to Bitcoin miners like Marathon Digital of 6.25 BTC will be halved to 3.125 BTC. While miners gain less Bitcoin for their troubles, the price of Bitcoin tends to skyrocket in the 18 months following a halving. 

Just last week, Marathon Digital launched a new service called Slipstream. The unit “is a direct Bitcoin transaction submission service designed to streamline confirmations of large or non-standard Bitcoin transactions.”

Crypto ETF FAQs

An Exchange-Traded Fund (ETF) is an investment vehicle or an index that tracks the price of an underlying asset. ETFs can not only track a single asset, but a group of assets and sectors. For example, a Bitcoin ETF tracks Bitcoin’s price. ETF is a tool used by investors to gain exposure to a certain asset.

Yes. The first Bitcoin futures ETF in the US was approved by the US Securities & Exchange Commission in October 2021. A total of seven Bitcoin futures ETFs have been approved, with more than 20 still waiting for the regulator’s permission. The SEC says that the cryptocurrency industry is new and subject to manipulation, which is why it has been delaying crypto-related futures ETFs for the last few years.

Bitcoin spot ETF has been approved outside the US, but the SEC is yet to approve one in the country. After BlackRock filed for a Bitcoin spot ETF on June 15, the interest surrounding crypto ETFs has been renewed. Grayscale – whose application for a Bitcoin spot ETF was initially rejected by the SEC – got a victory in court, forcing the US regulator to review its proposal again. The SEC’s loss in this lawsuit has fueled hopes that a Bitcoin spot ETF might be approved by the end of the year.

 

Marathon Digital stock forecast

Marathon Digital stock pulled back quickly on Tuesday from its two-year high at $32.87. That is of course a bad sign, but the new range high should provoke further entry from bulls. 

The $30 to $32 range provided support for much of 2021 and part of 2022, so traders will watch to see if MARA manages to use this price level as a base. Only a few weeks ago, MARA was trading near $16. 

MARA daily stock chart

Despite MARA stock’s recent spike in share price, the Relative Strength Index (RSI) sits at 65. That is a decent level for bulls since MARA stock does not yet look overbought here. The 70 RSI level is typically viewed as the threshold for an overbought status.

Another point of pride for bulls is that the 20-day Simple Moving Average (SMA) just recently overtook its 50-day SMA counterpart. This means that a longer rally is likely to enfold. The last time this happened, the November 15 to December 27 rally of 2023 was brought about.

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