Cryptocurrency Market Surges Post-Election

The cryptocurrency market has roared back to life following the recent U.S. presidential election, with Bitcoin reaching new highs.

Piper Sandler’s latest insights hint that President-elect Donald Trump’s warm take on crypto triggered a surge in investor optimism through the market, with Bitcoin soaring almost 9% overnight.

Analysts believe the election outcome could be a tipping point that opens the door to wider acceptance of crypto in mainstream finance.

4 Crypto Stocks to Monitor

Piper Sandler’s report spotlighted four stocks poised to gain from this momentum: Robinhood (NASDAQ:HOOD), Coinbase (NASDAQ:COIN), Virtu Financial (NASDAQ:VIRT), and CME Group (NASDAQ:CME).

• Robinhood relies heavily on crypto for its revenue, with 15 cryptocurrencies currently available on the platform. If regulatory clarity improves, the no-fee app could expand this lineup and roll out new features like staking and lending. Robinhood stands out at Piper Sandler with an "Overweight" rating and a price target of $30.

• Coinbase holds a more cautious "Neutral" rating, with a price target of $245. America’s largest crypto native platform stands to benefit as well, though it faces unique challenges. Long-term concerns remain around regulatory scrutiny regarding the tokens it lists.

• Virtu Financial is also getting into the crypto action as an authorized participant for all publicly traded Bitcoin and Ether ETFs. The company was rated "Overweight" with a price target of $35, benefiting from a potential options market on these ETFs.

• CME Group could benefit if it chooses to roll out more crypto contracts. Although crypto trading makes up a small portion of its business, its infrastructure and expertise in derivatives give it a unique edge as the crypto market grows. CME garnered an "Overweight" rating and a $250 price target.

Crypto Legislation Under Trump

Reflecting on potential legislative action, Prashant Maurya, Co-Founder & CEO at Spheron Network, told Investing.com that "crypto legislation is going to be the first priority," especially given the support shown to former President Trump during his campaign.

Daniel Cawrey from Tonkeeper also expects a “hands-off approach to crypto during the Trump administration” if he returns to office, pointing to the history of bureaucratic avoidance during Trump’s previous term. Cawrey believes this sends a positive signal for the crypto industry as a whole.