Top-Performing Cryptocurrency ETF: 5 Standout Stocks to Watch

In a month marked by dynamic shifts in the cryptocurrency landscape, the First Trust SkyBridge Crypto Industry & Digital Economy ETF (CRPT) has emerged as a standout performer, surging an impressive 61% in February. This extraordinary rally is underscored by robust gains in key stocks within CRPT’s portfolio, including CleanSpark (CLSK), Marathon Digital Holdings (MARA), Coinbase Global (COIN), Iris Energy (IREN), and Robinhood Financial LLC (HOOD).

Key Developments:

• Bitcoin’s Resurgence: The bellwether cryptocurrency, Bitcoin, reclaimed heights above $60,000, marking its first significant foray into this territory since November 2021. A surge of 20% within a week and heightened institutional interest fueled this remarkable resurgence.
• Game-Changing Spot Bitcoin ETFs: The advent of spot Bitcoin Exchange-Traded Funds (ETFs) has been a game-changer, simplifying investor access to Bitcoin without direct ownership. The 11 recently launched Bitcoin ETFs have collectively attracted over $6 billion since their introduction on January 11.
• Anticipation Around Bitcoin Halving: Excitement is building as the cryptocurrency community eagerly anticipates an upcoming halving event, poised to curtail Bitcoin’s supply growth. This event has injected a positive sentiment into the market.
• Bitcoin Outshining Traditional Assets: Bitcoin has significantly outperformed traditional assets, including stocks and gold, boasting a robust 40% gain in 2024.

Diving Deeper into First Trust SkyBridge Crypto Industry & Digital Economy ETF (CRPT):

• CRPT is strategically designed to provide exposure to companies at the forefront of driving innovation in cryptocurrency, crypto assets, and digital economies. Its meticulous bottom-up research methodology identifies 30 key stocks for inclusion in its portfolio.
• The ETF, charging 85 basis points in annual fees, has garnered attention for its stellar performance. With assets totaling $43.6 million and an average daily trading volume of 70,000 shares, CRPT stands as a noteworthy player in the cryptocurrency ETF space.

Highlighting CRPT’s Star Performers:

1. CleanSpark (CLSK): A cryptocurrency mining company, witnessing an astounding 124.6% surge in February, commanding a 2.9% share within CRPT. CleanSpark holds a Zacks Rank #2 (Buy).
2. Marathon Digital Holdings (MARA): Positioned as a digital asset technology company, MARA soared by 75%, constituting a substantial 13.2% share in the ETF. Marathon Digital maintains a Zacks Rank #3 (Hold).
3. Coinbase Global (COIN): As the largest U.S. cryptocurrency exchange, COIN recorded a notable 56.6% rally, comprising a significant 21.7% share in CRPT’s portfolio. Coinbase proudly carries a Zacks Rank #1 (Strong Buy).
4. Iris Energy (IREN): A key player in Bitcoin mining, IREN surged by 54.3%, claiming a 1.9% share within the CRPT basket. Iris Energy holds a Zacks Rank #3.
5. Robinhood Financial LLC (HOOD): Serving as a registered broker-dealer, HOOD posted a commendable 50.2% gain in February, contributing a 0.2% share in the ETF. Robinhood maintains a Zacks Rank #3.

The remarkable performance of CRPT in February is a testament to the broader crypto market’s resilience, institutional engagement, and the positive sentiment propelled by impending events such as the Bitcoin halving.

Disclaimer: Cryptocurrency investments carry inherent risks, and investors are advised to conduct thorough research before making financial decisions.