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3 Stocks to Watch as Crypto Promises a July Rally

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The cryptocurrency scene has been on a rollercoaster ride in 2023, with price fluctuations and regulatory pressures posing significant headwinds. However, recent developments have reinstated confidence in the market, and the month of July has started on a positive note.

Shares of Coinbase Global, Inc. (COIN - Free Report) , the largest U.S.-based crypto exchange, jumped 11.7% on Monday after exchange operator Cboe Global Markets, Inc. (CBOE - Free Report) said it was collaborating with the company in trying to launch a bitcoin exchange-traded fund. On Friday, Cboe filed an application with the SEC to launch this fund and named Coinbase its collaborator.

Another major crypto exchange, CoinDCX, announced a partnership with crypto taxation platform KoinX on Monday, to provide an interface that would assist users in filing their crypto taxes on its platform by accessing KoinX’s tax calculation and reporting infrastructure.

Bitcoin and Ethereum, two of the largest cryptocurrencies, respectively breached the $31,000 and $19,000 marks comfortably on Monday, and Bitcoin continued to rise on Tuesday. Other major altcoins also continued their move northward even as there was some profit booking involved as reports emerged that Belarus might be building up to a partial crypto ban.The global cryptocurrency market cap was trading higher, rising to $1.22 trillion early on Tuesday, marking a gain of almost 1% in the last 24 hours.

With Bitcoin holding steadily and solidly over the $30,000 mark for a while, the crypto scene might be poised for a fresh salvo in July. The SEC has been bombarded with filings and refilings of crypto proposals, and it has, till this point in time, taken things slowly, citing regulations. It remains to be seen, though, how long it can hold back.

Meanwhile, let us shift our focus to the stocks below that have significant exposure to the crypto market and are making good of the crypto rally. These flaunt a Zacks Rank #1 (Strong Buy) or 2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

CME Group Inc. (CME - Free Report) is a leading derivatives marketplace and has recently delved into the crypto territory by introducing a futures contract on the ether/bitcoin ratio slated for Jul 31, 2023, subject to regulatory approval.

CME Group’s expected earnings growth rate for the current year is 9.5%. The Zacks Consensus Estimate for its current-year earnings has improved by 0.6% over the past 60 days. The company currenty carries a Zacks Rank #2.

NVIDIA Corporation (NVDA - Free Report) is a semiconductor industry giant and one of the biggest success stories of 2023. Being leading designers of graphic processing units (GPU)s, Nvidia stocks usually soar with a booming crypto market because GPUs are pivotal for data centers, artificial intelligence, and the creation of crypto assets.

NVIDIA’s expected earnings growth rate for the current year is 129.3%. The Zacks Consensus Estimate for its current-year earnings has improved by 71% over the past 60 days. At present, the company sports a Zacks Rank #1.

Shopify Inc. (SHOP - Free Report) is an e-commerce company that allows merchants using its platform to accept cryptocurrencies as payment and has integrated with cryptocurrency payments processor CoinPayments.

Shopify’s expected earnings growth rate for the current year is 700%. The Zacks Consensus Estimate for its current-year earnings has improved 540% over the past 60 days. The company currently has a Zacks Rank #2.

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