Why Hut 8 Corp. (HUT) Is Among Wednesday’s Top Gainers?

We recently published a list of Bitcoin Miners, Quantum Computing Lead Rally: A Look at Wednesday’s Top 10 Gainers. In this article, we are going to take a look at where Hut 8 Corp. (NASDAQ:HUT) stands among Wednesday’s top gainers that lead rally.

Wall Street’s main indices closed in the green territory on Wednesday, posting gains of more than 1 percent as investors cheered news of a tamed inflation rate for November.

The Dow Jones jumped by 1.65 percent, while the S&P 500 surged by 1.83 percent. Meanwhile, the Nasdaq Composite index soared 2.45 percent.

Ten companies mirrored the broader market optimism, led by the quantum computing and bitcoin mining sectors. Today, let’s take a look at what buoyed investor sentiment for each of the top gainers.

To come up with Wednesday’s top advancers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

A close-up of a cryptocurrency mining rig in a large warehouse facility.

Hut 8 Corp. (NASDAQ:HUT)

Shares of Hut 8 Corp. (NASDAQ:HUT), a Bitcoin mining firm, increased by 10.06 percent on Wednesday to finish at $26.26 apiece as investor sentiment was buoyed by positive developments surrounding the cryptocurrency industry ahead of the Trump administration.

Hut 8 Corp. (NASDAQ:HUT)’s stock price rallied in line with higher Bitcoin prices, which as of Wednesday was retesting its resistance level of $100,000, over news that the Securities and Exchange Commission is set to begin overhauling cryptocurrency policies as soon as President-elect Donald Trump assumes office next week.

Among the measures likely to be considered are initiating a process that could result in clearer guidance and rules on when the agency deems a cryptocurrency to be a security, as well as reviewing pending crypto enforcement cases in the courts.

The news sparked optimism for a stronger cryptocurrency market and the potential end of regulatory crackdowns, particularly with the appointment of pro-cryptocurrency former SEC official Paul Atkins to lead the commission.

Overall, HUT ranks 6th on our list of Wednesday’s top gainers that lead rally. While we acknowledge the potential of HUT as a leading investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as HUT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.