As the fast-approaching U.S. presidential election continues to spur volatility in crypto markets, investors are likely assessing the best crypto ETF to buy ahead of it. With Donald Trump and Kamala Harris remaining in close competition, hedging bets on the election is of crucial importance. But for crypto investors, the question remains as to which new president will be better for decentralized markets.
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With the answer unclear, crypto ETFs will likely be in full focus through election day, especially as the crypto community is currently locked in a support battle between the two candidates.
What Is the Best Performing Crypto ETF?
Most crypto ETFs have been performing well overall lately, due in part to pro-Trump momentum. However, a closer look at the most prominent funds in the space is warranted. TipRanks’ ETF Comparison tool enables the comparison of ETFs based on several parameters, including AUM (assets under management), funds flow, expense ratio, technicals, dividend analysis, and performance over different periods.
TipRanks data shows the VanEck Digital Transformation ETF (DAPP) has outperformed its peers in 2024, rising 132% over the past year. This growth has been driven by large positions in top-performing crypto stocks. Its top holdings are MicroStrategy (MSTR) and Coinbase Global (COIN), which are up 421% and 118% for the year, respectively.
Behind it is the Fidelity Crypto Industry and Digital Payments ETF (FDIG), with gains for the year of 85%. TipRanks contributor Michael Byrne highlighted this fund as a likely winner ahead of the election. “FDIG features a lower expense ratio than many of its peers,” he notes. “Additionally, sell-side analysts foresee potential upside of over 30% over the next 12 months, making FDIG a compelling investment opportunity.'”
Is the VanEck Digital Transformation ETF a Strong Buy?
Wall Street is highly bullish on the VanEck Digital Transformation ETF. Analysts have a Strong Buy consensus rating on DAPP based on 18 Buys, three Holds, and zero Sells assigned in the past three months, as indicated by the graphic below. After a 135% rally in its share price over the past year, the average DAPP price target of $20.70 per share implies 54% upside potential.
As Tipranks data shows, analysts forecast extremely high upside potential for several DAPP holdings, including Canaan (CAN) and Cleanspark (CLSK), both of which also hold a Strong Buy consensus from Wall Street. These forecasts indicate that the the VanEck Digital Transformation ETF is in an excellent position to continue growing, regardless of who wins the election.
