- Bakkt shares rose by 15% post-partnership, hinting at a strategic shift
- Robinhood’s Bitstamp acquisition underlined the trend of crypto firms seeking global expansion
Bakkt, a crypto platform listed on the New York Stock Exchange (NYSE), is in the news today after it saw a notable uptick in its share price. In fact, the same climbed by 15% to $22.33 on the charts. The aforementioned surge marked a notable 27% hike over the week, pushing the company’s market value to approximately $300 million.
Here, it’s worth noting that contrary to its recent short-term gains, Bakkt’s stock has declined by around 30% over the past year, according to BNN Bloomberg’s latest report.
That’s not all either, with the report also touching upon a recent announcement.
“On Friday (6th June), Bakkt announced that it has partnered with Crossover Markets to develop a crypto electronic communication network, or ECN.”
Additionally, the crypto trading platform is also considering a few potential strategic options, including a sale or restructuring of the company.
Other companies following the same approach
With cryptocurrency prices surging back to near-record highs, there are various companies considering expansion opportunities.
For instance, Robinhood, a prominent crypto trading platform, officially announced its intention to purchase Bitstamp, a top European exchange, on 6 June.
Providing further insights on the same, Johann Kerbrat, General Manager of Robinhood Crypto, in a press release noted,
“The acquisition of Bitstamp is a major step in growing our crypto business…Through this strategic combination, we are better positioned to expand our footprint outside of the US and welcome institutional customers to Robinhood.”
Bakkt’s performance
As far as Bakkt is concerned, the company’s shares have seen a significant decline this year, dropping from $59.57 towards the start of 2024 to roughly $19. Such has been its depreciation that Bakkt Holdings Inc. also received a warning from the NYSE regarding a potential delisting if its stock value doesn’t recover.
Additionally, earlier this year, Bakkt disclosed financial difficulties, prompting a move to raise $150 million through a securities sale.
To the platform’s credit, its execs like CEO Andy Main have always assured everyone of the firm’s financial stability and improved revenue.
The charts seemed to highlight something similar too, with an uptrend very visible since May 2024. At the time of writing, the Relative Strength Index (RSI) seemed to underline the market’s bullishness too.
As the situation unfolds for Bakkt, it’ll be intriguing to see whether the company opts for a sale, restructuring, or maintaining its independence.
Source: TradingView