It’s been a very pleasant day overall for ASX shares and the S&P/ASX 200 Index (ASX: XJO) this Tuesday. As it currently stands, the ASX 200 has gained a healthy 1.35%, putting it well back over 6,700 points. But we can’t say the same for the Woodside Energy Group Ltd (ASX: WDS) share price.

In stark contrast to the ASX 200, Woodside shares are having a clanger. The ASX 200 oil share is currently sitting at a loss of 1.09% at $32.77 a share.

So what’s going on here? Why are investors shunning this energy share?

Why is the Woodside share price lagging behind the ASX 200 today?

Well, oil shares, like Woodside, tend to take most of their pricing influences from the price of crude oil itself. That’s because this is the single largest factor that influences their overall profitability.

And, lo and behold, oil prices have had a tough 24 hours. As my Fool colleague James flagged this morning, Brent crude is currently down by 0.17% at US$91.46 a barrel, while West Texas Intermediate (WTI) crude has lost 0.22% at US$85.27.

With the price of oil stalling, it’s perhaps no wonder oil shares like Woodside are on struggle street today.

It’s not just Woodside either. The energy sector is currently the only ASX 200 sector to have recorded a loss today. As it currently stands, the S&P/ASX 200 Energy Index (ASX: XEJ) is nursing a loss of 0.97%.

Other ASX oil shares like Santos Ltd (ASX: STO) and Beach Energy Ltd (ASX: BPT) have also been significantly sold off. Santos shares are presently down 1.39% at $7.465, while Beach shares have lost 1.17% so far at $1.527 a share.

Oil may be known as black gold. But few investors would be throwing that name around this Tuesday.

The post It’s a good day on the ASX 200. So why is the Woodside share price getting beaten up? appeared first on The Motley Fool Australia.

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More reading

• Why is the Santos share price getting left behind the ASX 200 today?
• Is now the time to start buying cheap ASX 200 shares? Here’s what UBS says
• Is ASX 200 lithium player Lake Resources profitable?
• The Telstra share price is still trading at less than half its record highs. Time to pounce?
• 3 ASX 200 lithium shares that turned a $10,000 investment into $500,000

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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No-one rings a bell at the top of a bull market or at the bottom of a bear market.

In hindsight, any of us (like me), who were holding onto fast-growing yet loss-making growth stocks as inflation started spiking upwards, wished they could turn back the clock and sell at the (now) obviously inflated valuations.

Fast forward to now, where the S&P/ASX 200 Index (ASX: XJO) is down 10% year to date and the S&P/ASX Small Ordinaries Index (ASX: XSO) has lost 25% over the same period. In the US, it’s worse, with the Nasdaq off 33% so far this year.

At the individual stock level, some of the falls have been absolutely brutal so far in 2022…

City Chic Collective Ltd (ASX: CCX) – down 79%

EML Payments Ltd (ASX:EML) – down 79%

Kogan.com Ltd (ASX:KGN) – down 64%

Megaport Ltd (ASX:MP1) – down 58%

If I were a betting man, I’d wager, over the next 12-24 months, small companies will out-perform the ASX 200 index. 

And although the bell isn’t ringing for the bottom of this bear market, I think now will prove a good time to steadily put money to work in stocks that I think have asymmetric upside potential. 

An asymmetric bet, trade, or investment is when the potential upside of a position is much greater than its potential downside.

Rather than investing now in coal producers Whitehaven Coal Ltd (ASX: WHC) and New Hope Corporation Limited (ASX: NHC), up 314% and 208% respectively so far this year, I’d far rather be betting on some ASX micro-cap stocks who, from ultra-depressed levels, have the potential to rise three to five times in value in the coming years. 

Putting my money where my mouth is

I’m putting my money where my mouth is, investing in a portfolio of companies that generally have little to no debt, are growing quickly, are either on the cusp of profitability or are indeed profitable, yet their share prices have fallen up to 70% in this brutal sell-off.

I’m not stupid enough or confident enough to say some won’t fall in a screaming heap. These are often very small companies operating in very competitive markets. A diversified portfolio is essential – 15 to 30 stocks – as is lashings of patience and the ability to withstand short to medium term volatility.

It’s worth reminding readers that a company that has already seen its share price fall 70% can easily see it halve again, especially in a market that’s incredibly nervous, and one where liquidity for many micro-cap stocks has virtually disappeared.

But that’s the stock picking game, right? Otherwise, we just stick with low-cost index-tracking Exchange Traded Funds (ETF), like the Vanguard Australian Shares Index ETF (ASX: VAS) and/or the Vanguard MSCI Index International Shares ETF (ASX: VGS).

In return for enduring the volatility and the uncertainty, you have the opportunity to earn out-sized returns by picking your own stocks. 

Yet heed this warning from legendary investor Charlie Munger from 2009, also a period of high uncertainty and volatility…

“… if you’re not willing to react with equanimity to a market decline of 50% two or three times a century you’re not fit to be a common shareholder and you deserve the mediocre result you’re going to get compared to the people who do have the temperament…”

Two ASX stocks with asymmetric upside potential 

The Plenti Group Ltd (ASX: PLT) share price has slumped 64% so far this year as the online auto and personal lending business has been buffeted by a re-rating of tech stocks, higher interest rates and the threat of increasing bad debts in a slowing economy as those interest rates start to bite.

The risks are very real. Yet, the company is growing like gangbusters as it and other “challenger” lenders take market share from the less nimble big four banks. Its loan portfolio at 30th June 2022 was $1.44 billion, up 90% from the prior year, with ambitions to grow it to $5 billion in 2025.

The Bluebet Holdings Ltd (ASX: BBT) share price is down 70% so far this year as the online bookmaker has largely been a victim of the vicious sell-off in tech stocks. 

Bluebet is growing quickly, has plenty of cash and no debt, and cash from operations is running around breakeven, despite its up-front investment in marketing and in the nascent yet lucrative US market.

With a market cap of just $86 million, and its cash balance providing downside protection. For me, Bluebet is an asymmetric bet on its ‘Capital Lite’ US strategy, starting in four states. Macquarie expects online sports betting to be available to 96% of the US population by 2025.

In a diversified portfolio, with plenty of large-cap ballast and a healthy cash balance, I hold modestly sized positions in both Plenti and Bluebet, amongst other small and microcap stocks I think offer asymmetric outcomes.

The post Two ASX microcap stocks with asymmetric upside potential in today’s market appeared first on The Motley Fool Australia.

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More reading

• It’s a good day on the ASX 200. So why is the Woodside share price getting beaten up?
• Why is the Santos share price getting left behind the ASX 200 today?
• Citi says CSL share price is great value amid large iron therapy opportunity
• Why Hub24, Sezzle, Telix, and Westpac shares are rising
• Is the A2 Milk share price a buy ahead of next month’s AGM?

Motley Fool contributor Bruce Jackson has positions in BlueBet Holdings Ltd and Plenti Group Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Vanguard MSCI Index International Shares ETF. The Motley Fool Australia has recommended BlueBet Holdings Ltd and Vanguard MSCI Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Santos Ltd (ASX: STO) share price isn’t joining the broader market rally today.

In afternoon trading, the S&P/ASX 200 Index (ASX: XJO) is up 1.24% while Santos shares are down 1.59% to $7.45 apiece.

But it’s not just the Santos share price that’s lagging the benchmark today.

With other big name energy stocks also in the red, the S&P/ASX 200 Energy Index (ASX: XEJ) is down 1.06%.

What’s happening in the oil markets?

International benchmark Brent crude oil is currently trading for US$91.95 per barrel.

That’s up 0.3% overnight. But it’s down 2.8% since Friday.

Analysts are divided over the outlook for crude prices. And that uncertainty looks to be pressuring the Santos share price and other ASX 200 oil stocks today.

The twin forces pit a rather tight global crude supply outlook against the potential of falling demand, should some of the world’s biggest economies slip into recession.

Commenting on the oil markets, head of commodities strategy at ING Groep Warren Patterson said (quoted by Bloomberg):

The market is in somewhat of a limbo at the moment with a negative macro backdrop and a tighter supply outlook. At the moment, I suspect the market is more worried about what implications a slowdown will have on demand.

Atop the concerns that reduced demand will bring down oil prices, investors are also keeping an eye on US president Joe Biden.

Why?

Because Biden controls the taps on the US Strategic Petroleum Reserve (SPR).

The US government had previously announced it would tap into 180 million barrels of oil from the SPR. Much of that oil has already been released into the markets.

Now, investors are eyeing the possibility that the Biden administration, irked by the latest production cuts from OPEC+, may release another 100 million barrels. That would likely send crude prices lower and further pressure the Santos share price.

According to founding partner and chief oil analyst at Energy Aspects Amrita Sen (quoted by Markets Insider), “They are also weighing an emergency release of potentially as much as 100 million barrels [from the SPR]. You just don’t know given the volume of uncertainty.”

Santos share price snapshot

Despite underperforming today, the Santos share price has handily beaten the benchmark in 2022, up 13%. That compares to the 11% year-to-date loss posted by the ASX 200.

The post Why is the Santos share price getting left behind the ASX 200 today? appeared first on The Motley Fool Australia.

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More reading

• Is now the time to start buying cheap ASX 200 shares? Here’s what UBS says
• Is ASX 200 lithium player Lake Resources profitable?
• The Telstra share price is still trading at less than half its record highs. Time to pounce?
• 3 ASX 200 lithium shares that turned a $10,000 investment into $500,000
• This is what will get ASX shares rising again early 2023: economist

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The CSL Limited (ASX: CSL) share price is underperforming on Tuesday.

In afternoon trade, the biotherapeutics giant’s shares are down almost 0.5% to $275.84.

Should you buy the dip in the CSL share price?

One leading broker that appears to believe investors should buy the dip in the CSL share price is Citi.

According to a note this morning, the broker has responded positively to the company’s update on its new CSL Vifor business.

So much so, its analysts have retained their buy rating with a lofty $340.00 price target.

Based on the current CSL share price, this implies potential upside of over 23% for investors over the next 12 months.

What is the broker saying about CSL?

While there were no surprises from the inaugural CSL Vifor investor day, Citi was happy with what it heard and believes it demonstrates why the company made the blockbuster acquisition.

The broker commented:

The inaugural Vifor investor day was largely as anticipated. CSL gave investors a better appreciation for the rationale behind the deal: Vifor has the most extensive suite of products available in a large underpenetrated market, with a limited number of competitors, and unique industry partnerships.

The medium-term revenue growth target of >10% will likely help support medium-term consensus, but questions will remain around the durability of the iron therapy franchise beyond the end of exclusivity period for Ferinject (~40% of Vifor revenue) in FY27.

Near term, the FY23 guidance was largely as anticipated although FX is a $200m headwind, and the accretion timeline seems to have been pushed out. Whilst these are negative, they were somewhat expected by the market. We are constructive on the iron and CKD markets longer-term. The main earnings driver for CSL remains Behring (>70% of group EBIT). Maintain Buy, $340 TP.

The post Citi says CSL share price is great value amid large iron therapy opportunity appeared first on The Motley Fool Australia.

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• 2 classic healthcare ASX shares priced to buy now: expert
• 3 ASX 200 shares that turned a $5,000 investment into $1 million
• Why is the CSL share price dropping today?
• Which ASX All Ords shares could perform well in a recession?
• Could CSL shares capitalise on the next pandemic?

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL Ltd. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The S&P/ASX 200 Index (ASX: XJO) is back on form on Tuesday. In afternoon trade, the benchmark index is up 1.3% to 6,749.4 points.

Four ASX shares that are climbing more than most today are listed below. Here’s why they are rising:

Hub24 Ltd (ASX: HUB)

The Hub24 share price is up 14% to $25.20. Investors have been buying this investment platform provider’s shares following the release of its quarterly update. According to the release, Hub24 recorded platform net inflows of $3 billion for the three months. This took its total funds under administration to $52.4 billion. This was driven by continued growth in the number of advisers on its platform.

Sezzle Inc (ASX: SZL)

The Sezzle share price is up over 7% to 51 cents. This morning the buy now pay later (BNPL) provider announced that it has entered into a new $100 million credit facility. Management notes that the facility provides Sezzle with greater capacity, improved flexibility, and extends its funding into 2024.

Telix Pharmaceuticals Ltd (ASX: TLX)

The Telix share price is up 9% to $6.09. Investors have been buying this biopharmaceuticals company’s shares after it released promising preliminary data from two separate investigator-initiated studies. These studies were for TLX250-CDx in triple negative breast cancer and non-muscle invasive bladder cancer.

Westpac Banking Corp (ASX: WBC)

The Westpac share price is up almost 2% to $23.87. This morning Westpac confirmed that it is interested in acquiring payments processor Tyro Payments Ltd (ASX: TYR). The banking giant believes that acquiring Tyro would boost its small business offering. Though, it has warned that there’s no guarantee that a deal will be reached.

The post Why Hub24, Sezzle, Telix, and Westpac shares are rising appeared first on The Motley Fool Australia.

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• Guess which ASX 200 tech share is surging 14% following a $3 billion quarter
• Tyro share price on watch as Westpac takeover approach confirmed
• These ASX 200 dividend shares have been named as buys by analysts
• Here are the top 10 ASX 200 shares today
• Are Westpac shares a buy ahead of next month’s full-year results?

Motley Fool contributor James Mickleboro has positions in TELIXPHARM DEF SET and Westpac Banking Corporation. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Hub24 Ltd. The Motley Fool Australia has positions in and has recommended Hub24 Ltd. The Motley Fool Australia has recommended Westpac Banking Corporation. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The A2 Milk Company Ltd (ASX: A2M) share price is slightly in the red this year but could now be the time to buy?

A2 Milk shares have shed 2.38% since market close on 31 December. In today’s trade, they are up 0.95% at the time of writing, fetching $5.32 apiece. For perspective, the S&P/ASX 200 (ASX: XJO) is up 1.2% so far today.

Let’s check the outlook for the A2 Milk share price.

What’s ahead?

The A2 Milk Company will be holding its AGM on Friday 18 November in Auckland, New Zealand. In FY22, the company reported a 42.3% lift in net profit after tax (NPAT) to $114.7 million. Group revenue jumped 19.8%.

The team at Bell Potter has recently maintained a buy rating on A2 Milk shares with a $6.60 price target. This represents a 24% upside on the current A2 Milk share price.

Bell Potter provided this outlook based on infant milk formula (IMF) data and the weak New Zealand dollar. Analysts said:

Total landed IMF volumes (traditional + bonded volumes) into China were up +22% YOY in Aug’22 and are up +14% YOY on a R3M basis. China landed volumes found a floor in Apr’22 and have been improving since.

In the near term directionally favourable YOY trends look to have returned to shipment indicators of IMF to China and the NZD weakness is creating a tailwind, given the majority of sales occur in AUD, USD and CNY.

Perpetual Equity Investment Company (ASX: PIC) also predicted “material upside” for the A2M share price following the company’s FY22 results.

However, Fairmont Equities managing director Michael Gable put a “hold” recommendation on A2 Milk shares in September. He highlighted the company’s strong result in FY22 but raised some concerns about market conditions. He said, cited by The Bull:

 …market conditions remain challenging due to increasing competition and a low birth rate in China.  Consequently, we view the company as currently trading around fair value. We retain a market weight rating.

Share price snapshot

The A2 Milk share price lost 19% in the past year, while it has fallen nearly 4% in the past month.

For perspective, the ASX 200 has lost more than 8% in the past year.

A2 Milk has a market capitalisation of nearly $4 billion based on the current share price.

The post Is the A2 Milk share price a buy ahead of next month’s AGM? appeared first on The Motley Fool Australia.

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• Top brokers name 3 ASX shares to buy today
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• What’s the outlook for A2 Milk shares in the second quarter?
• Why did the A2 Milk share price rocket 23% in the first quarter?
• How did the A2 Milk share price manage to beat the ASX 200 in September?

Motley Fool contributor Monica O’Shea has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended A2 Milk. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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It’s a good day to hold Novonix Ltd (ASX: NVX) stock, with the company’s share price rocketing 15% higher.

Its whopping gains come despite no news having been released by the S&P/ASX 200 Index (ASX: XJO) tech share. In fact, the market hasn’t heard any price-sensitive word from the battery technology and materials company since August.

Right now, the Novonix share price is $2.055, 14.8% higher than its previous close.

For comparison, the ASX 200 has lifted 1.29% at the time of writing.

So, what might be going right for the tech favourite? Let’s take a look.

What’s going on with the Novonix share price?

The Novonix share price is outperforming on Tuesday, coming in as the ASX 200’s best performer.

Its gain is slightly higher than the 14.6% surge posted by the Hub24 Ltd (ASX: HUB) share price. The financials stock revealed all the details of a record first quarter this morning.

Meanwhile, the S&P/ASX 200 Information Technology Index (ASX: XIJ) is up 2.56% – making it the second best performing ASX 200 sector today. Its gain is slightly less than the 2.84% surge recorded by the S&P/ASX 200 Real Estate Index (ASX: XRE).

Of course, those invested in Novonix shares will likely be rejoicing at its latest lift. Particularly, as the stock hadn’t yet recovered from a disastrous September that saw it dump 27%.

Following that tumble, the tech share crashed to a 52-week low of $1.655 in early October. Yesterday saw it drop to $1.73 in intraday trade – its third lowest point of the last 12 months.

Much of the company’s recent suffering could be explained by Australia’s rising cash rate.

Rate hikes tend to up the stakes for growth shares, particularly those – like Novonix – that are yet to turn a profit.

Today’s gains included, the Novonix share price has fallen around 80% so far this year. It’s also lost approximately 60% since this time last year.

Meanwhile, the ASX 200 has fallen 11% year to date and 8% over the last 12 months.

The post Why is the Novonix share price rocketing 15% today? appeared first on The Motley Fool Australia.

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• The Novonix share price has just capped off a shocker first quarter. What’s next?
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• Novonix share price shakes off losing streak to post second day of gains
• The Novonix share price sank to another 52-week low today. What’s been going so wrong?
• Here’s how ASX tech shares fared in September

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Hub24 Ltd. The Motley Fool Australia has positions in and has recommended Hub24 Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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Although the S&P/ASX 200 Index (ASX: XJO) is having a very rosy day indeed this Tuesday, it doesn’t erase the awful year ASX shares have endured during 2022 thus far.

Typically, the ASX 200 Index has given investors an average return of around 8% per annum. That’s going off two decades of performance data from the SPDR S&P/ASX 200 Fund (ASX: STW). Yet this year so far, the ASX 200 has lost a painful 11%. And we’re still only in October.

Situations like the one we investors find ourselves in often prompt calls from value investors to ‘buy the dip’ and get shares on the cheap. That’s famously also the approach historically taken by the legendary investor Warren Buffett. So is now the right time to follow this advice and scoop up cheap ASX 200 shares?

Well, let’s see what one ASX broker reckons.

Broker: It’s time to buy cheap ASX 200 shares

According to reporting in the Australian Financial Review (AFR), broker UBS argues it’s a good time to pounce. This expert predicts the worries investors have been displaying over the year to date regarding rising interest rates and a possible recession are unfounded.

UBS is predicting the peak of the Reserve Bank of Australia’s (RBA) current tightening curve is almost upon us. As such, the current market downturn, according to the broker, is a great chance to pick up cheap ASX 200 shares.

UBS’s optimism comes from its own surveys. These predict household spending will remain resilient. That’s despite the recent run of RBA interest rate hikes.

Here’s some of what UBS strategist Richard Schellbach told the AFR:

Despite gloomy press headlines, and continued challenges from supply chain constraints, input cost pressures, and more recently labour market shortages, the reality is that the end demand which ASX businesses are seeing, continues to be undeniably firm…

The strength of the Australian economy, and resilience of its consumer, not just runs counter to many forecasts, but also runs against the slide we have seen in the cyclical sectors of the equity market.

Schellbach concluded by arguing that:

The share price moves seem overly pessimistic and present an opportunity to buy into some high-quality businesses with solid medium-term prospects.

No doubt these optimistic projections will be very welcome for ASX 200 investors today. But we shall have to wait and see what happens. If the last few years have taught investors anything, it is to expect the unexpected.

The post Is now the time to start buying cheap ASX 200 shares? Here’s what UBS says appeared first on The Motley Fool Australia.

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More reading

• Is ASX 200 lithium player Lake Resources profitable?
• The Telstra share price is still trading at less than half its record highs. Time to pounce?
• 3 ASX 200 lithium shares that turned a $10,000 investment into $500,000
• This is what will get ASX shares rising again early 2023: economist
• 5 things to watch on the ASX 200 on Tuesday

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is bouncing back from yesterday’s heavy decline. At the time of writing, the benchmark index is up 1.25% to 6,747.3 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are falling:

Adbri Ltd (ASX: ABC)

The Adbri share price is down a further 4% to $1.38. Investors have been selling this building materials company’s shares since the release of a very disappointing trading update on Monday. That update reveals that higher costs are squeezing its profits in FY 2022. The company also announced the exit of its CEO.

Rio Tinto Limited (ASX: RIO)

The Rio Tinto share price is down over 1% to $93.06. The catalyst for this has been the release of a mixed quarterly update from the mining giant on Tuesday. Rio Tinto’s shipments and production fell short of consensus estimates across most commodities. For example, the company reported iron ore shipments of 82.9Mt, but the market was expecting shipments of 84.5Mt.

St Barbara Ltd (ASX: SBM)

The St Barbara share price is down a massive 21% to 52.7 cents. This follows the release of the gold miner’s first quarter update, which revealed weaker than expected production and higher costs. This has led to St Barbara downgrading its full year production guidance and increasing its all-in sustaining cost guidance.

Whitehaven Coal Ltd (ASX: WHC)

The Whitehaven Coal share price is down 2% to $10.57. Investors have been selling Whitehaven Coal and other coal miners on Tuesday. This may have been driven by news that China intends to increase its coal production. If this increases supply meaningfully, it could put downward pressure on the sky high prices that coal is commanding currently.

The post Why Adbri, Rio Tinto, St Barbara, and Whitehaven Coal shares are dropping today appeared first on The Motley Fool Australia.

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More reading

• Why are shares in ASX 200 gold miner St Barbara crashing 22% today?
• Rio Tinto share price higher despite mixed Q3 update
• 5 things to watch on the ASX 200 on Tuesday
• Why Adbri, Costa, Hawsons Iron, and Medibank shares are sinking today
• Own Rio Tinto shares? Here’s what to expect from the mining giant’s Q3 update

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Bitcoin (CRYPTO: BTC) price is up 2% over the past 24 hours.

At the time of writing, the world’s original crypto is trading for US$19,571 (AU$31,104).

While the latest gains put BTC up 3% since this time last week, the Bitcoin price remains down 59% year to date.

Still, crypto investors appear unfazed by Monday’s network hiccup.

Bitcoin price sails through mining delay

The network hiccup in question was the 85 minutes it took to mine a block of Bitcoin yesterday.

According to CoinDesk (citing Mempool), that left 13,000 transactions pending while the two latest blocks in the blockchain were mined by Foundry USA and Luxor.

On most days transactions can go through in around 10 minutes. But the Bitcoin price looks to have been spared any sell-off from hiccup as these types of delays, while inconvenient for some users, aren’t all that unusual.

“A time between blocks of 85 minutes happens every 34 days or so,” tweeted Tadge Dryja, founder of the Lightning Network.

Cryptos lift on strong tech rally

Crypto investors have been more focused on the broader, though turbulent, rally in tech stocks than any sporadic mining delays.

The Bitcoin price has traded in close correlation, though often magnified, to the Nasdaq Composite Index (NASDAQ: .IXIC) this year.

And with some bullish data indicating US consumers are in a strong position despite the inflation and interest rate headaches, the tech-heavy Nasdaq Composite is up 2.8% over the past week. This was locked in by a 3.4% gain overnight.

The post How has the Bitcoin price responded to the network’s latest hiccup? appeared first on The Motley Fool Australia.

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More reading

• Crypto surges: Is now the time to buy Bitcoin and Ethereum?
• I’ve already made 158% on Bitcoin. Here’s why I keep holding
• Is Google now joining the crypto party following its latest move?
• Why is the Bitcoin price outperforming for Australian crypto investors?
• The Bitcoin price just tumbled back below US$20,000. What’s happening?

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Bitcoin. The Motley Fool Australia has positions in and has recommended Bitcoin. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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