Top Cryptocurrency Stocks for 2022


That’s why they’re the best, they’re the positive outliers relative to the rest of the market. These types of stocks have three traits: strong fundamentals, great technicals, and a history of Big Money activity in the shares. Outlier stocks see a lot of Big Money buying.

Oftentimes, that can be institutional activity. We’ll go over what that looks like in a bit. For MAPsignals, we believe that Big Money trading can alert you to the forward fundamental picture of a stock. In other words, Big Money moves markets.

I’ve spent my career in Big Money, primarily focused on stocks. If we can measure where demand is flowing for shares, that’s an edge worth tracking. We want the odds on our side when looking for the highest quality investments.

Well, can we use the same framework with crypto? Our data point to yes. Below are six-month charts of Bitcoin (BTC) and Ethereum (ETH), the two largest cryptocurrencies, with Big Money activity overlayed:

And here are multiyear charts:

Many investors are watching crypto with a close eye. The space has been walloped. And that means stocks whose businesses are exposed to crypto have suffered. But if the crypto pullback is over, those same stocks should bounce. Five stocks we think could benefit are TSLA, COIN, SQ, PYPL, & NVDA.

Up first is Tesla, Inc. (TSLA), the electric vehicle company. In addition to vehicles, Tesla also owns crypto and accepts it as payment.

The stock has been on a pullback. Great companies on pullbacks are worthy of attention. Check out TSLA:

  • Year-to-date performance (+0.1%)
  • Historical Big Money signals

Just to show you what our Big Money signal looks like, have a look at the top buy signals Tesla has made the past few years. Blue bars are showing that TSLA was likely being bought by a Big Money player, according to MAPsignals.

When you see a lot of them, I call it the stairway to heaven:

Source: www.MAPsignals.com

But, what about fundamentals? As you can see, Tesla’s sales and earnings have grown at double-digit rates:

  • 3-year sales growth rate (+41.8%)
  • 3-year earnings growth rate (+33.3%)

Next up is Coinbase Global, Inc. (COIN), which is a crypto exchange.

Check out these technicals for COIN:

  • 1-month performance (-12.0%)
  • Historical Big Money signals

There’s been a price dip, but let’s look long-term. This is the Big Money action in COIN. Clearly the Big Money likes it:

Source: www.MAPsignals.com

Let’s look at fundamentals. As you can see, Coinbase has had huge revenue growth. I see that continuing in the years ahead:

  • 1-year sales growth rate = (+649.5%)
  • 3-year sales growth rate = (+139.3%)

Another crypto stock name for 2022 is Block Inc. (SQ), formerly Square, which is a payment processing company. It owns crypto, allows users to trade it, and changed its name to reflect its crypto-focused future.

Strong candidates for growth usually have Big Money buying the shares. Block has that. Also, the stock has been sold heavily of late:

  • 1-month performance (-20.3%)
  • Historical Big Money signals

Below are the Big Money signals Block has made since 2015. That’s JUICE!

Source: www.MAPsignals.com

Now let’s look a bit closer. The growth is impressive, and I expect more of the same in the future:

  • 1-year sales growth rate = (+118.8%)
  • 1-year earnings growth rate = (+5.3%)

Number four on the list is payment processor PayPal Holdings Inc. (PYPL). It too allows users to trade crypto and is developing its own stablecoin. PYPL has been on a sell streak lately.

Here are the technicals important to me:

  • 1-month performance (-2.9%)
  • Historical Big Money signals

Below are the Big Money signals for PYPL since 2015 – JUICE:

Source: www.MAPsignals.com

Let’s look under the hood. Despite recent price volatility, the fundamentals indicate PayPal has been growing nicely:

  • 3-year sales growth rate = (+18.0%)
  • 3-year earnings growth rate = (+36.1%)

Our last 2022 crypto stock candidate is computer hardware maker NVDIA (NVDA). The company’s graphics cards are popular gamers. They’re also popular with crypto miners, who use computers to solve complex problems to “mine” new crypto coins, since high-end graphics cards are part of the backbone of crypto mining operations.

NVDA has been on a sell streak lately. Check out these technicals:

  • 1-month performance (-9.3%)
  • Historical Big Money signals

NVDIA is a high-quality stock and has several Big Money buys (blue bars) since 2016:

Source: www.MAPsignals.com

Now look at the fundamentals. Sales and earnings have been rock-solid, with both growing at double-digit rates:

  • 3-year sales growth rate = (+22.2%)
  • 3-year earnings growth rate = (+18.0%)

The Bottom Line

TSLA, COIN, SQ, PYPL, & NVDA represent top crypto stocks for 2022. Strong fundamentals, future prospects, ample crypto exposure, and Big Money buy signals make these stocks worthy of extra attention, especially if crypto prices stage a turnaround.

To learn more about MAPsignals’ Big Money process please visit: www.mapsignals.com

Disclosure: the author holds long positions in COIN & PYPL in managed accounts.

Investment Research Disclaimer

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