Riot Blockchain, Marathon Digital stocks roar as Bitcoin price soars
- Bitcoin prices are targeting the key resistance point at $30,000.
- Riot Blockchain and Marathon Digital stocks have soared.
- Crypto mining companies have a close correlation with BTC prices.
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Crypto mining stocks roared back as cryptocurrencies continued their comeback. Riot Blockchain (NASDAQ: RIOT) and Marathon Digital (NASDAQ: MARA) jumped by ~13% and ~10%, respectively on Wednesday.
Bitcoin price targets $30,000
The crypto industry has had a mixed week. On the one hand, Bitcoin and other altcoins have made a strong comeback. Bitcoin is now hovering near its highest level since June last year while the total market cap of all coins has jumped to over $1.2 trillion.
At press time, Bitcoin was trading at $28,600, meaning that it is about to move above the year-to-date high. If this happens, it will likely attract more buyers, who will push it to the next key target at $30,000. More upsides above that will bring the next key resistance point at $40,000 to view.
On the other hand, regulatory scrutiny of the sector intensified this week. The Commodity Futures Trading Commission (CFTC) launched a major lawsuit against Binance, the biggest exchange in the world.
And last week, the Securities and Exchange Commission (SEC) warned that it will sue Coinbase for its staking products.
Therefore, the current price action is mostly because investors believe that the crypto industry will weather this regulatory storm. It is also a reflection that traders expect the Fed will shift its tone on monetary policy this year.
Riot Blockchain stock price forecast
On the daily chart, we see that the RIOT stock price has been in a slow upward trend in the past few weeks. It has jumped by 175% from the lowest level this year, signaling that investors expect its mining operations to boom.
RIOT shares have jumped above the key resistance point at $7.76, the highest level on February 2. It has moved above the 25-day and 50-day moving averages. Therefore, the outlook for the stock is bullish, with the next key level to watch being at $10.57, the highest point on August 11.
Marathon Digital share price forecast
MARA stock price has been in a slow bullish trend in the past few days. It has formed a symmetrical triangle pattern that is shown in green. Unlike Riot, the stock is oscillating at the 25-day and 50-day moving averages.
Therefore, with the triangle pattern nearing its confluence point, the stock will likely have a breakout in the near term. This view will be confirmed if Bitcoin continues rising. As such, the key level to watch will be at $15.7, the highest point on October 26.
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