Cryptocurrency Investments to Consider Amid Pullback

02/25/2025

Cryptocurrency investments to consider amid pullbacks feature companies that hold Bitcoin as part of their reserve assets.

This strategy has rewarded companies that delved into Bitcoin early but it also leaves them vulnerable to instances when the cryptocurrencies lose value as they did in mid-February with a $1.5 billion heist. The misfortunate befell cryptocurrency exchange Bybit, which reported on Friday, Feb. 21, that a cyber-attacker gained control of an ether wallet and transferred about $1.5 billion worth of holdings to an unidentified address.

An ether cold wallet was the only one that was hacked and all other wallets of the exchange were unaffected, with withdrawals proceeding normally, Bybit CEO Ben Zhou posted on X, which was previously known as Twitter.

Cryptocurrency Investments to Consider Amid Pullback: Bybit Rebound?

"Gold and bitcoin are long-term hedges against inflation and geo-political instability," wrote Mark Skousen, PhD, in the March 2025 issue of his Forecasts & Strategies investment newsletter. Skousen, a presidential fellow who has been named "America's economist" by the MoneyShow, has been writing Forecasts & Strategies for 45 years and has selectively begun to invest in cryptocurrencies.

Skousen teamed up with his award-winning documentarian son Tim Skousen to trade both Bitcoin and Ethereum successfully in the TNT Trader advisory service that they collaborate on together. TNT Trader produced an average gain of 85% when recommending options in Ethereum in November 2023 before selling them in two parts by the end of the following month. They currently are up more than 171.76% in Bitcoin that remains a recommendation.

"We are also several years into a very positive bull run since late 2022, so it shouldn’t be a huge surprise that stocks are retreating after an overbought period," Skousen wrote in the March 2025 issue of his Forecasts & Strategies. "This has also included cryptocurrencies."



Mark Skousen, leader of Forecasts & Strategies and a scion of Ben Franklin, meets with Paul Dykewicz.

Cryptocurrency Investments to Consider Amid Pullback: TNT Trader Analysis

In January 2025, TNT Trader predicted that Bitcoin would likely trade sideways or even retreat for a period of weeks or even months. The advisory service projected that Bitcoin would drop below $90,000, which it already has done.

It has only been 10 months since the last halving event in April 2024 of the amount of Bitcoin that is left to mine. In previous Bitcoin cycles, the cryptocurrency has not hit its new all-time high until at least 12 months later, TNT Trader reported. In the last three cycles, the all-time high has been reached closer to 18 months later, the publication continued.

"So, let’s be patient," TNT Trader advised. "It’s hard to watch anything take a drop, but this is part of owning cryptocurrencies. Patience is hard, but it pays off in the end.

"And don’t forget that Bitcoin has done this during every bull cycle on its way to new highs. Let’s hold on for the big payoff before exiting the space later this year."

Cryptocurrency Investments to Consider Amid Pullback: BLOK

Investors may want to buy shares in equities that are tied to cryptocurrencies like Bitcoin. One speculative recommendation that adds alpha to the Forecasts & Strategies newsletter portfolio is Amplify Transformational Data Fund (NYSEArca: BLOK). The fund invests in crypto and blockchain technology.

So far this year, Amplify Transformational Data Sharing Fund is up 3% year,  Forecasts & Strategies reported in its March 2025 newsletter. BLOK invests in companies that finance cryptocurrencies and blockchain technology.

TNT Trader notched an average 120.54% gain in BLOK late in 2024 by buying call options in the fund and selling them in three different segments. The exposure to blockchain technology helps the fund diversify beyond a pure play in Bitcoin.



Chart courtesy of www.stockcharts.com

Cryptocurrency Investments to Consider Amid Pullback: TSLA

Investors who like to buy stocks when they have pulled back may want to consider Tesla (NASDAQ: TSLA). Austin, Texas-based Telsa is possibly the world's premier electric vehicle manufacturer.

Led by Elon Musk, the company has lost some popularity due to his involvement in helping President Trump in downsizing the federal government.

More than 20 civil service employees resigned Tuesday from billionaire Trump adviser Musk’s Department of Government Efficiency, complaining they did not want to use their technical knowledge to “dismantle critical public services.”

“We swore to serve the American people and uphold our oath to the Constitution across presidential administrations,” the 21 staffers wrote in a joint resignation letter reported on by The Associated Press. “However, it has become clear that we can no longer honor those commitments.”

Tesla is trading now is trading well below its 52-week stock price. Once Musk's role in downsizing the federal government is finished, electric car buyers may resume focusing more on the vehicles rather than on the person who heads the innovative company.



Chart courtesy of www.stockcharts.com

For now, shares can be purchased at a relative discount for a company that is Tesla initially bought $1.5 billion of Bitcoin in 2021. The company still holds a substantial amount of the cryptocurrency that helped to boost its financial performance in the last quarter when its results from operations weakened.

Fast Money Alert is a trading service that has successfully invested in Tesla in the past. Skousen teams up with seasoned stock market veteran Jim Woods on the Fast Money Alert service and they have some scored big gains in the stock.



Paul Dykewicz meets with Jim Woods, who heads Investing Edge and co-leads Fast Money Alert.

Woods, who heads the Investing Edge investment newsletter, also has successfully traded in Bitcoin and offers new advisory service called Crypto and Commodities Trader.

Cryptocurrency Investments to Consider Amid Pullback: WONDF

Canada-based WonderFi is a global leader in centralized and decentralized financial services and products that recently announced its momentum continued after the first month of 2025 with estimated revenues and interest income in the range of $7.75-8.25 million, reported Bryan Perry, who recommends it in his Micro-Cap Trader Trader advisory service. It is a big cryptocurrency trading platform in Canada.



Bryan Perry heads Micro-Cap Trader Trader

Positives cited by Perry in a recent report, using Canadian dollars, are WonderFi's:

• Strong continued performance driven by significant increases in trading volumes, active user growth and new sign-ups.
• Assets under custody of approximately $2.4 billion as of January 31, 2025, an increase of 14% from the prior month. WonderFi announced certain corporate updates and unaudited estimates for the month of January 2025.

January 2025 Corporate Updates:

• Estimated revenue and interest income was in the range of $7.75-8.25 million, representing an increase of approximately 14% from the Q4 monthly average.
• Bitbuy and Coinsquare facilitated over $543 million in combined trading volumes during the month, representing an increase of approximately 44% from the Q4 monthly average.
• Client assets under custody were approximately $2.4 billion as of January 31, 2025, an increase of approximately 14% from December 31, 2024.
• Bitbuy and Coinsquare had over 127,000 monthly active users in January, an increase of approximately 15% from the Q4 monthly average.
• Bitbuy and Coinsquare had over 20,000 sign-ups in January, representing an increase of approximately 25% from the Q4 monthly average.



Chart courtesy of www.stockcharts.com

Cryptocurrency Investments to Consider Amid Pullback: Summary

The cryptocurrency investments to consider buying amide a pullback may be worth the risk. Investors who are eyeing shares in equities that have gone on sale at discounted prices may be rewarded, especially with geopolitical high as wars rage around the world as the market seems to have plateaued recently.

Paul Dykewicz, www.pauldykewicz.com, is an accomplished, award-winning journalist who has written for Dow Jones, the Wall Street Journal, Investor’s Business Daily, USA Today, the Journal of Commerce, Seeking Alpha, GuruFocus and other publications and websites. Paul, who can be followed on Twitter @PaulDykewicz, is the editor of StockInvestor.com and DividendInvestor.com, a writer for both websites and a columnist. He further is editorial director of Eagle Financial Publications in Washington, D.C., where he edits monthly investment newsletters, time-sensitive trading alerts, free e-letters and other investment reports. Paul previously served as business editor of Baltimore’s Daily Record newspaper. Paul also is the author of an inspirational book, “Holy Smokes! Golden Guidance from Notre Dame’s Championship Chaplain,” with a foreword by former national championship-winning football coach Lou Holtz. The book is great as a gift and is endorsed by Joe Montana, Joe Theismann, Ara Parseghian, “Rocket” Ismail, Reggie Brooks, Dick Vitale and many others. Call 202-677-4457 for multiple-book pricing.

Sincerely,

Paul Dykewicz, Editor
StockInvestor.com