The year 2024 marked a significant milestone for the cryptocurrency market, with Bitcoin (BTC) surpassing the $100,000 mark for the first time. Despite a slight retreat from its all-time high in recent days, the cryptocurrency is expected to continue its growth trajectory in 2025.

Regulatory Clarity and Technological Progress

The cryptocurrency market has been buoyed by expectations of regulatory clarity and technological progress. The appointment of pro-crypto individuals to key cabinet and regulatory roles is seen as a positive development, while the expansion of blockchain technology into real-world applications is expected to enhance its importance.

Investing in Crypto-Centric Stocks

Investors looking to capitalize on the growth potential of the cryptocurrency market may consider investing in stocks that have a strong link to Bitcoin. Among these are Robinhood Markets, Inc. (HOOD), NVIDIA Corporation (NVDA), Visa Inc. (V), and Shopify Inc. (SHOP). Each of these companies has seen positive earnings estimate revisions over the past 60 days.

Bitcoin on Track to Reach Newer Heights

Bitcoin’s all-time high of $106,533 was triggered by Donald Trump’s victory in the Presidential election, which raised hopes of a crypto-friendly environment and regulatory clarity under his regime. The president-elect had pledged to make the United States the "crypto capital of the world," outlining plans to establish a strategic Bitcoin reserve and select regulators supportive of digital assets.

The positive sentiment has been fueling the rally over the past couple of months, but the cryptocurrency retreated more than 10% in the penultimate week of December after the Federal Reserve gave a hawkish outlook for rate cuts in 2025 as inflation is still high. Despite this, investors are hopeful about Bitcoin’s surge this year after a stellar 2024.

2025 Holds Promise for Cryptocurrencies

Despite the hawkish outlook, experts believe that 2025 could prove to be yet another outstanding year for cryptocurrencies. A large number of regulatory changes are expected in major markets such as China, Canada, and the EU, which is expected to create a healthier crypto environment.

Additionally, Trump’s pro-crypto leadership is likely to push for more institutional activity through Bitcoin ETFs. Technological progress is anticipated to enhance the importance of blockchain in practical, real-world uses. Furthermore, Bitcoin has typically hit new all-time highs every four years during its last two bullish cycles since 2017.

A Look at Historical Trends

Bitcoin has historically hit new all-time highs every four years during its last two bullish cycles since 2017. In each cycle, Bitcoin saw a surge of 2300% and 1700%, respectively, followed by corrections of 70% to 80%. From hitting a low of $16,000 two years ago in early 2023, Bitcoin has surged nearly 600%, suggesting significant potential for continued growth in the next two years.

4 Crypto-Centric Stocks With Upside

Here are four stocks that have seen positive earnings estimate revisions over the past 60 days and are expected to benefit from the growth of the cryptocurrency market:

Robinhood Markets, Inc. (HOOD)

  • Expected earnings growth rate for the current year: more than 100%
  • Zacks Consensus Estimate for current-year earnings has improved 16.9% over the last 60 days
  • Currently has a Zacks Rank #1 (Strong Buy)

NVIDIA Corporation (NVDA)

  • Expected earnings growth rate for the current year: more than 100%
  • The Zacks Consensus Estimate for current-year earnings has improved 0.1% over the last 60 days
  • Currently has a Zacks Rank #3

Visa Inc. (V)

  • Expected earnings growth rate for the current year: 11.6%
  • The Zacks Consensus Estimate for current-year earnings has improved 0.1% over the last 60 days
  • Currently has a Zacks Rank #3

Shopify Inc. (SHOP)

  • Expected earnings growth rate for the current year: 70.3%
  • The Zacks Consensus Estimate for current-year earnings has improved 11.5% over the past 60 days
  • Currently has a Zacks Rank #3