Bitcoin Stocks To Watch Before The July CPI Report

With Bitcoin hovering around $64,100 and traders watching resistance near $65,581 and support at $58,000, the next move in crypto prices could hinge on the upcoming US CPI reading on July 14. Cooler inflation data may support risk appetite, while a hotter print could do the opposite. For investors looking at companies that engage with cryptocurrencies or blockchain technology, this setup can influence sentiment and capital flows. This article highlights three stocks from a crypto and blockchain themed screener that are closely exposed to the current Bitcoin and CPI backdrop, and explains how the same news can matter very differently for each one.

Overview: Block is a US-based financial technology company that runs two main ecosystems: Square for merchants and Cash App for consumers, offering payment processing, banking-style services, lending, and tools to buy, sell and spend Bitcoin alongside traditional money.

Operations: Block generates about US$8.7b in revenue from Square, US$15.4b from Cash App, and US$0.3b from Corporate and Other, with roughly US$22.4b from the United States and US$2.1b from international markets.

Market Cap: US$46.5b

Investors watching Bitcoin’s next move may find Block interesting because Cash App sits directly in the flow of crypto trading and spending. Square and newer projects like Bitkey, TBD and TIDAL give the company multiple ways to be exposed to higher digital asset activity and merchant adoption. At the same time, Block is dealing with real trade offs, including reliance on volatile Bitcoin-related revenue, recent profit margin pressure, and rising credit risk from Cash App Borrow and Afterpay, plus a US$45 million fraud settlement that shines a light on compliance and trust. With analysts expecting strong earnings growth and active AI product development, the question is whether this mix of growth drivers and execution risks is being fairly reflected in today’s price.

Block’s expanding Bitcoin, lending and AI efforts could be masking a very different risk reward profile than many assume, and the 2 key rewards and 2 important warning signs might be where the real twist in this story starts to show.

Overview: Bitgo Holdings runs the plumbing behind much of institutional crypto, providing secure wallets, qualified custody, trading, liquidity and blockchain infrastructure so banks, asset managers, exchanges and other large clients can hold and move digital assets with institutional controls.

Operations: Bitgo generates about US$18.2b from security software and services, with roughly US$10.4b coming from the U.S. and US$7.7b from international markets.

Market Cap: US$0.6b

Bitgo Holdings sits at the crossroads of Bitcoin, institutional adoption and regulation, which is why a potential breakout in crypto activity around the CPI release could be important for this stock. On one side, the company is building out custody, trading, Lightning payments and tokenization services, winning qualified custody mandates and expanding into APAC, so higher transaction volumes and more tokenized assets could feed into fees over time. On the other side, Bitgo is still loss making, carries funding and regulatory risk, and faces an IPO related class action that may weigh on sentiment. For investors, the tension between growth forecasts, cost cuts and legal and market risks is where the more interesting part of the Bitgo story begins.

Bitgo Holdings sits at the intersection of loss making infrastructure and rising institutional interest, and the analyst forecasts for Bitgo Holdings lays out how those growth expectations compare with the funding, regulatory and legal overhang that investors need to weigh.

Overview: Galaxy Digital is a New York headquartered financial services and infrastructure company focused on digital assets, offering trading, lending, asset management, investment banking, Bitcoin mining and a GalaxyOne platform that links traditional and crypto markets for institutions and individual investors.

Operations: Galaxy Digital generates about US$58.5b from its Digital Assets segment and US$0.2b from Treasury and Corporate, with nearly all reported revenue of roughly US$58.7b coming from Canada.

Market Cap: US$9.8b

Investors watching Bitcoin coil around US CPI dates may see Galaxy Digital as a high beta way to get exposure to both crypto sentiment and the build out of AI focused data centers and tokenization platforms. The company sits in the flow of trading, lending and advisory activity, is rolling out Helios data center capacity tied to a single large tenant, and is still loss making with all liabilities funded by higher risk borrowing, so setbacks in crypto volumes or financing could bite. At the same time, management is leaning into index inclusion, buybacks and institutional products, and argues that the stock is undervalued. This leaves a gap between today’s risks and the future that long term investors may want to examine more closely.

Galaxy Digital’s story of crypto leverage plus AI linked infrastructure is only half told, and the 2 key rewards and 2 important warning signs (1 is major!) could reveal why its upside case and key pressure points may not line up the way many expect

The three stocks in this article are only the starting point. The full screener has surfaced 9 more companies with equally compelling cryptocurrency and blockchain stories inside the Cryptocurrency and Blockchain Sector screener. Use Simply Wall St to identify, analyze and filter for the exact catalysts and narratives that matter to you so you can focus on the highest conviction opportunities in this sector.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data
and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your
financial situation. We aim to bring you long-term focused analysis driven by fundamental data.
Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
Simply Wall St has no position in any stocks mentioned.

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