We recently released a compilation of the 12 Best Bitcoin Stocks Recommended by Billionaires. In this article, we will evaluate how HIVE Digital Technologies Ltd. (NASDAQ:HIVE) measures up against other leading Bitcoin stocks worth investing in. Bitcoin emerged as the standout asset of 2024, largely due to the introduction of new exchange-traded funds (ETFs) and a growing sense of optimism regarding potential deregulation with a new administration in the United States. However, the cryptocurrency exhibited considerable volatility, experiencing substantial price fluctuations throughout the year. By the end of 2024, Bitcoin’s value surged from approximately $40,000 to nearly $94,000, as reported by CNBC. The most remarkable increase occurred in the aftermath of the US presidential election. By mid-December, Bitcoin surpassed the $108,000 mark for the first time, driven by expectations that President Donald Trump’s victory over former Vice President Kamala Harris would result in clearer regulations and a boost in crypto investments.
The Mechanism Behind Bitcoin’s Price Movements
A primary factor affecting Bitcoin’s price fluctuations is the halving mechanism, an essential aspect of its network. Bitcoin halving refers to a built-in process that reduces the rewards miners earn for validating transactions and creating new blocks on the blockchain. This event takes place approximately every four years, or after 210,000 blocks have been mined, gradually decreasing the rate at which new bitcoins are introduced into circulation. The main goal of this mechanism is to control Bitcoin’s supply, capping it at a maximum of 21 million coins. Halving events can influence Bitcoin’s price by limiting the quantity of new coins available in the market. The inaugural halving occurred on November 28, 2012, when the block reward was reduced from 50 bitcoins to 25. This was followed by a notable increase in Bitcoin’s price, a trend that has been observed during subsequent halving events. The latest halving took place on April 20, 2024, at block 740,000, decreasing the reward from 6.25 BTC to 3.125 BTC. Historically, these halving events have been correlated with price hikes, as the reduced supply tends to increase demand. This scarcity enhances Bitcoin’s reputation as a digital store of value, often likened to gold. Furthermore, market speculation surrounding halving events generally stimulates investor interest and trading activity, which can further affect Bitcoin’s price.
Bitcoin’s Growing Role in Financial Markets
Bitcoin’s increasing prominence is also evident in broader financial markets and trends in institutional investments. By the conclusion of 2024, the global pool of investable assets exceeded $200 trillion, with cryptocurrencies representing over $3 trillion, or 1.5% of the total market. Institutional investors have increasingly turned to Bitcoin exchange-traded products (ETPs), with inflows surpassing $34 billion as Bitcoin gained traction within diversified investment portfolios. Bitcoin has established itself as a benchmark for the cryptocurrency market and a barometer of investor risk appetite. Its limited supply and decentralized nature distinguish it from traditional assets, positioning it as an alternative growth investment in the evolving economic landscape. This perspective is further reinforced by a US proposal to categorize Bitcoin as a strategic reserve asset. This proposal arises amid rising national debt and escalating borrowing costs. President Trump’s "America First" policies, which involve tax cuts and tariffs, could exacerbate inflation concerns, already reflected in bond markets where 30-year yields approached 5% in early 2025.
Optimism Among Billionaire Investors in Cryptocurrency
Despite the inherent volatility within the cryptocurrency sector, several billionaire investors remain optimistic about its potential. Michael Saylor, the executive chairman of a prominent business intelligence firm, was the most significant percentage gainer among crypto billionaires on Forbes’ 2024 list. The software company he established in the 1990s has evolved into a major player in Bitcoin investments, holding around 193,000 bitcoins by 2024, making it the largest corporate holder of Bitcoin globally, according to its CFO. Tech billionaire Mark Cuban is also actively investing in cryptocurrency, expressing belief in its potential for future value appreciation as it becomes increasingly integrated into the global financial framework. He has even speculated that cryptocurrency could eventually supplant the US dollar as the world’s reserve currency.
HIVE Digital Technologies Ltd (HIVE): A Top Choice Among Bitcoin Stocks
To gather insights for this analysis, we examined Insider Monkey’s database of billionaires’ stock holdings and identified the top 12 companies in the cryptocurrency sector that attracted the most billionaire investors during the fourth quarter of 2024. The companies are ranked in ascending order based on billionaire investor interest. The rationale for focusing on stocks that hedge funds favor is straightforward: our research indicates that mimicking the top stock selections of leading hedge funds can yield market-beating returns. Our quarterly newsletter employs a strategy that selects 14 small-cap and large-cap stocks each quarter, achieving a remarkable return of 373.4% since May 2014, outperforming its benchmark by 218 percentage points.
Number of Billionaire Investors: 5 HIVE Digital Technologies Ltd. (NASDAQ:HIVE) stands out as one of the best Bitcoin stocks available for purchase. The company is involved in mining and selling digital currencies, operating data centers in Canada, Sweden, and Iceland for cryptocurrency mining, including Bitcoin. On March 11, Cantor Fitzgerald reaffirmed its Overweight rating for the stock but adjusted its price target downward from $10 to $8, which still suggests a potential upside of 359.77% from its current valuation. In the third quarter of fiscal year 2025, HIVE Digital Technologies Ltd. reported revenues of $29 million, with a gross operating margin of $6.1 million. Adjusted EBITDA reached $17.3 million, driven by the production of 322 Bitcoin equivalents. By the end of the quarter, HIVE had amassed 2,805 bitcoins on its balance sheet, all mined using clean, renewable energy, and completely debt-free. As of December 31, 2024, the company held $9.8 million in cash and $260.8 million in digital assets, marking a substantial increase from the previous quarter due to higher HODL balances and rising Bitcoin prices. On March 17, HIVE Digital Technologies Ltd. announced the appointment of Gabriel Lamas as Country President for Paraguay, where he will oversee the company’s operational and expansion efforts in the region, reinforcing its leadership in sustainable and energy-efficient high-performance computing. Lamas brings over 20 years of experience in infrastructure and large-scale energy projects to the role. Overall, HIVE is ranked 8th on our list of the best Bitcoin stocks to invest in according to billionaires. While we recognize HIVE’s growth potential, we believe that select AI stocks may offer even greater prospects for higher returns in a shorter timeframe. If you are interested in an AI stock that presents more promise than HIVE but trades at less than five times its earnings, be sure to check out our report on the most affordable AI stock.
