Crypto Mining Stocks Soar: Is the Fed’s Soft-Landing Narrative Real?

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Ah, the sweet sound of crypto mining stocks skyrocketing! 🚀📈 Despite a minor hiccup on Thursday, these digital gold diggers have been on a roll, thanks to the US Federal Reserve’s soft-landing narrative. 🛬

Riot Platforms (RIOT), Hive Digital (HIVE), Hut 8 (HUT8), MARA Holdings (MARA), and Bitfarms (BITF) have all seen gains between 13% and 28% over the past four trading sessions. 🎉 Meanwhile, VanEck’s Digital Transformation ETF, which tracks an index of 24 publicly listed digital asset firms, rose by as much as 3.2% on Thursday. 📈

In Thursday’s session, investors responded to a better-than-expected US nonfarm payrolls report, though several public mining companies retraced gains. 😕

But let’s not forget the broader market upswing that pushed the S&P 500 Index and the Nasdaq Composite Index to new all-time highs in a holiday-shortened session on Thursday. 🎉 The gains were sparked after the Bureau of Labor Statistics reported that the US economy added 147,000 jobs in June, while the unemployment rate fell to 4.1% from 4.3% — figures that exceeded Wall Street’s expectations. 📈

Bitcoin miners follow the broader stock market higher

The rally in Bitcoin mining stocks mirrored a broader market upswing that pushed the S&P 500 Index and the Nasdaq Composite Index to new all-time highs in a holiday-shortened session on Thursday. 🎉 Gains were sparked after the Bureau of Labor Statistics reported that the US economy added 147,000 jobs in June, while the unemployment rate fell to 4.1% from 4.3% — figures that exceeded Wall Street’s expectations. 📈

Although workforce participation dropped to its lowest level since 2022, economists attributed the decline to an immigration crackdown that may be tightening labor supply. 😕

While the stronger-than-expected jobs report likely rules out immediate rate cuts this summer, the “broader macro picture remains supportive of rate cuts,” wrote Matt Mena, a crypto research strategist at 21Shares. 🤔 Mena noted that the current macro backdrop is the kind in which “digital assets tend to thrive,” pointing to the potential for lower interest rates, improving risk sentiment, and the prospect of regulatory clarity through the market structure bill and the GENIUS Act. 🤑

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2025-07-03 21:33