Recently, Bitcoin’s price has experienced a slight decline from its record high on March 14. However, Bernstein, a company that analyzes market trends, has upgraded its forecast for the end of the year, predicting a strong rally in cryptocurrency prices and related stocks.
According to a report released on Tuesday, Bernstein now expects the bitcoin price to reach $90,000 by the end of 2021, up from its previous forecast of $80,000. This news was first reported by CoinDesk.
The company also improved its outlook for cryptocurrency mining stocks thanks to the recent surge in bitcoin’s price and the positive response to new spot bitcoin ETFs. Analysts Gautam Chhugani and Mahika Sapra stated, “With a new bitcoin bull cycle, strong ETF inflows, aggressive miner capacity expansion, and all-time high miner dollar revenues, we continue to find bitcoin miners compelling buys for equity investors seeking exposure to the crypto cycle.”
Bernstein’s Updated Price Targets
Bernstein has also adjusted its price targets for several companies in the cryptocurrency mining industry. They have raised their target for CleanSpark (CLSK) from $14.20 to $30 and maintained an Outperform rating for the stock. The target for Riot Blockchain (RIOT) has been lowered from $22.50 to $22, while maintaining an Outperform rating, and the target for Marathon Digital (MARA) has been reduced from $23 to $14.30. Bernstein has rated MARA as a performer in the market.
On Thursday, CLSK stock rose by 2.6%, while RIOT and MARA fell by 3.4% and 2.9%, respectively. However, RIOT has seen a 12.5% decline for the month and a 22.5% drop since the beginning of the year. Meanwhile, CleanSpark’s stock has soared by more than 88% in the first half of 2021.
In other news, the new bitcoin ETFs have seen a slight decline of 1% in recent months. As of Thursday, bitcoin was trading near $65,000, up 7% from its 24-hour low of $62,000. The cryptocurrency reached a record high of $73,798 on March 14, but has since fallen below its previous peak of $68,990 set in November 2021. Bitcoin has gained approximately 55% this year, with most of the gains occurring since February and March.
MicroStrategy (MSTR) and Coinbase Global (COIN) also saw slight increases in their stock prices on Thursday, with MSTR gaining 3.4% and COIN growing by 2%.
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