Crypto Stocks Outpace Bitcoin as Institutions Shift Strategy
Public market capital pours into equities tied to crypto infrastructure amid regulatory clarity and muted BTC moves.
While Bitcoin holds flat, crypto-related equities are once again breaking away and outperforming. According to a new report from 10x Research, the total market cap of publicly traded crypto companies has now crossed $300 billion, signaling that institutional investors are rotating into listed equities rather than spot crypto.
This divergence highlights a broader trend: as retail investors get priced out of high BTC entry points, they’re turning to cheaper proxy stocks like Robinhood, Coinbase, and soon, Circle.
IPO Buzz and Equity Stakes Drive Demand
Momentum around Circle’s upcoming IPO has supercharged sentiment. Though its valuation may seem stretched, the company’s public debut reflects rising investor appetite fueled by growing regulatory clarity in both the U.S. and Hong Kong.
Coinbase, meanwhile, remains undervalued by roughly 18%, based on 10x Research’s regression models. A key driver of this hidden value is the exchange’s strategic equity stake in Circle, which the market may not be fully pricing in yet.
At the same time, Robinhood continues to post strong gains on the back of a surge in crypto trading revenue, while Galaxy Digital is gaining attention as another potentially underappreciated play.
Miners Lag Behind as Capital Favors Diversified Firms
Interestingly, crypto miners are underperforming. The report attributes this to a rise in network difficulty and hashrate, which has crimped margins and raised competition. In contrast, diversified platforms—those with multiple revenue streams beyond just mining—are increasingly favored by both institutional and retail traders.
“The market prefers diversified crypto infrastructure plays over pure mining exposure,” the report notes.
Macro Trends Reinforce the Rotation
With Bitcoin volatility at subdued levels and correlation to the S&P 500 near historic lows, traders are finding greater upside in crypto equities. These stocks offer leveraged exposure to the broader ecosystem while avoiding the direct risks of token price swings.
Conclusion: Crypto Stocks Are No Longer Just Proxies
The decoupling of crypto stocks from BTC performance isn’t just a blip. It’s a signal that equity markets are becoming a parallel channel for crypto investment—one increasingly shaped by institutional flows, strategic partnerships, and regulatory tailwinds.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
