Crypto Boom: 3 TSX Stocks to Buy Before December

The crypto space is still on fire. Investors should look to target TSX stocks like Hut 8 Mining Corp. (TSX:HUT)(NASDAQ:HUT) today.

| More on:
stock research, analyze data

Image source: Getty Images

The cryptocurrency space ran into some trouble in the spring and summer of 2021. Bitcoin suffered a steep retreat after achieving an all-time high in the middle of April. It dropped below the US$30,000 mark in July before it staged a promising comeback. Indeed, the crypto space looks a strong as ever. Today, I want to look at three TSX stocks that are worth snatching up in this space before December.

Why digital currencies have regained momentum in late 2021

The spot price of Bitcoin was trading just above the US$66,000 mark at the time of this writing. That means the top digital currency is nearing its all-time high as we move into the second week of November. Bitcoin is not alone. Other top cryptos like Ethereum, Litecoin, and Ripple are gaining momentum.

Cryptos have continued to attract more investors as broader markets bathe in liquidity. However, central banks are telegraphing an end to this feast. Whether policymakers follow through on this pledge remains to be seen. Until that credit-tightening cycle arrives, it is hard to see the frothy crypto market fall out of favour. There are a handful of TSX stocks that are well positioned to benefit in this climate.

Here are two TSX stocks that are surging with the crypto space

Hut 8 Mining (TSX:HUT)(NASDAQ:HUT) is a Toronto-based cryptocurrency mining company. Shares of this TSX stock have shot up 413% in 2021 as of late-morning trading on November 8. The stock is up nearly 1,500% in the year-over-year period.

In Q2 2021, the company delivered record revenue of $33.5 million. This was the second consecutive quarter wherein it set a new mark. It mined 553 Bitcoin in the quarter, all of which it added to its self-mined Bitcoin balance. Hut 8 reported adjusted EBITDA of $30.6 million for the first six months of 2021 — up from a $322,000 loss in the previous year.

HIVE Blockchain Technologies (TSXV:HIVE)(NASDAQ:HVBT) is another top crypto miner. It operates in Canada, Sweden, and Iceland. This TSX stock has surged 140% in the year-to-date period. Its shares are also up over 1,000% compared to the same period in 2020.

The company unveiled its first-quarter fiscal 2022 earnings on October 4. Its gross revenue from digital currency mining was $37.2 million — up 466% from the previous year. HIVE has managed to bolster its Ethereum and Bitcoin mining capacity over the past year in the face of the ongoing pandemic.

Both crypto mining TSX stocks are still worth snatching up in this bull market.

Seek direct exposure to the top crypto with this ETF

Bitcoin surged in October as the first Bitcoin futures ETF was launched in the United States. This is expected to attract more investors into the crypto space in the quarters to come. Canada already saw the launch of the first TSX-listed Bitcoin ETF back in February 2021. Purpose Bitcoin ETF has climbed 20% over the past month. This ETF allows Canadian investors to track the price of the top digital currency in a registered account like a Tax-Free Savings Account.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Ambrose O'Callaghan has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned.

More on Investing

Target. Stand out from the crowd

2 Canadian Stocks I’m Buying Lots of This Year

I’m looking to snatch up exciting Canadian stocks like VieMed Healthcare Inc. (TSX:VMD) throughout 2023.

Read more »

grow money, wealth build
Dividend Stocks

Got $3,000? 3 TSX Growth Stocks to Buy in January 2023

Top TSX growth stocks that look appealing for 2023.

Read more »

woman data analyze
Dividend Stocks

Need Passive Income? Turn $15,000 Into $851 Annually

This passive-income stock is already climbing higher, up 16% in the last three months! Yet it's still valuable, so you…

Read more »

Senior Man Sitting On Sofa At Home With Pet Labrador Dog
Dividend Stocks

Retirees: 3 Reliable Canadian Dividend Stocks to Buy Now for Passive Income

Top TSX dividend stocks now appear oversold.

Read more »

A red umbrella stands higher than a crowd of black umbrellas.

2 TSX Stocks Safer for Investing in a Recession

These consumer companies will likely beat the broader market averages amid a recession. These stocks offer stability, income, and consistent…

Read more »

Dividend Stocks

For $100 in Passive Income Each Month, Buy 1,500 Shares of This REIT

REITs such as Northwest Healthcare can enable investors create a passive-income stream as well as benefit from capital gains.

Read more »

A colourful firework display
Dividend Stocks

2 Canadian Growth Stocks (With Dividends) to Start 2023 With a Bang

Here are two of the best dividend-paying Canadian growth stocks you can invest in at the start of 2023 and…

Read more »

sale discount best price
Dividend Stocks

4 Insanely Cheap Canadian Stocks to Buy for Passive Income

The recent bear market has created some incredible bargains, especially for those looking for passive income. Here are four cheap…

Read more »