Robinhood Markets (HOOD) stock rallied today following President Donald Trump’s announcement about creating a Crypto Strategic Reserve. According to a post on Truth Social, the social media platform owned by Trump Media & Technology Group (DJT), this reserve will hold Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Solana (SOL), and Cardano (ADA).
It’s worth noting that President Trump’s post marks the first time he’s backed creating a crypto reserve. Before that, he focused on a crypto stockpile. The main difference here is a reverse would actively trade crypto while a stockpile would hold digital tokens. He also clarified his stance on how the U.S. will approach crypto by stating, “I will make sure the U.S. is the Crypto Capital of the World.”
An additional catalyst is coming later this week as President Trump will host the U.S.’s first White House Crypto Summit on Friday. This is expected to include additional details about the Crypto Strategic Reserve and could further bolster tokens and related stocks.
How Robinhood Benefits From Trump’s Strategic Reserve
Robinhood is an exchange that allows traders to buy and sell stocks and crypto. The exchange is particularly popular with retail traders and crypto enthusiasts. This makes HOOD stock an attractive option for investors who want to ride the crypto wave after President Trump’s Crypto Strategic Reserve announcement.
Traders have already seen these benefits as HOOD stock rallied 2.83% this morning, building on a 38.22% increase year-to-date. The stock also experienced a massive 209.68% increase over the past 52 weeks.
Is HOOD Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for Robinhood Markets is Moderate Buy based on 12 Buy and five Hold ratings over the last three months. With that comes an average price target of $71.27, a high of $105, and a low of $45. This represents a potential 37.91% upside for HOOD stock.
