It’s been a long way down for former market darling Block (NYSE:SQ). Block stock soared during the pandemic as merchants and consumers were forced to switch to digital payments because of lockdowns. In just 18 months shares soared nearly 600%, but it was short-lived. Investors saw the fintech stock lose almost 90% of its value from peak to trough just two years later. A reopened economy, risky bets on cryptocurrency, the speculative acquisition of buy now, pay later outfit Afterpay, and a wither
Investors have piled into more speculative investments amid increasing confidence the Federal Reserve is done hiking interest rates.
The swift rise in blockchain stocks associated with cryptocurrency-related public companies is explained by market participants’ hopes for the imminent approval of a Bitcoin ETF. For instance, shares of Grayscale Bitcoin Trust (OTCMKTS:GBTC) have surged by 220% since the beginning of this year, reaching $26.79, according to data from Tradingview. Over the same period, shares of Nvidia (NASDAQ:NVDA), one of the top assets in the S&P500, showed a growth of 198%, while the index itself grew by 9%.