The recent crash in the crypto market has made many investors think twice before jumping in. Some of the most popular and hyped-up parts of the industry took the biggest hits, leaving people more cautious. But this shake-up might actually help new strategies focused on managing risk better.

Today, there are many ways to invest in crypto. You can buy coins directly, trade through spot ETFs, use options and futures, or even invest in companies that mine crypto or build the technology behind it. With all these choices, results can vary a lot. High-risk moves like using leverage or betting on expensive assets have led to big losses for some.

Bitcoin investment options have grown fast, and now both everyday investors and big institutions can get involved. According to Coinbase Institutional’s strategy head, John D’Agostino, it’s not just about buying bitcoin anymore—how you manage your exposure and risk matters just as much.

**Buying at the Peak Can Hurt**

Bitcoin dropped about 36% after hitting a record high of $126,223 on October 6. Even now, it’s still down around 30% from that peak. Companies like MicroStrategy (MSTR), which hold a lot of bitcoin on their balance sheets, have been hit even harder. These companies often raise money to buy more bitcoin, either by selling shares or taking on debt.

For a long time, their stock prices traded higher than the actual value of the bitcoin they held. Many investors assumed this trend would last forever. But when bitcoin’s price fell, those premiums disappeared fast. MicroStrategy’s stock has dropped 54% since bitcoin’s October high and is down 63% from July. Other firms like Japan’s Metaplanet and similar smaller players also took big hits.

According to analyst Lyn Alden, this was basically a “localized bubble.” Investors are now more careful about paying too much for stocks tied to crypto.

**Crypto Miners Shifting Focus**

Crypto mining companies like IREN, CleanSpark (CLSK), Riot Platforms (RIOT), and Marathon Digital Holdings (MARA) were once investor favorites. They had cheap power contracts and were riding high on both crypto and AI trends. But now, they’re trying to shift into AI data centers, which serve major tech firms.

These miners have been top performers thanks to their link to two big growth stories: crypto and artificial intelligence. However, their profits are under pressure due to large debt loads and the need for constant funding to make the transition to AI.

When the broader economic picture changed a bit, these companies saw their stock prices fall sharply.

**Energy Becomes a Key Factor**

Looking ahead, crypto and AI are expected to become more connected. That’s because running AI needs a lot of electricity—something crypto miners already know how to handle.

Morgan Stanley estimates that U.S. data centers could face a power shortage of 47 gigawatts by 2028. But if crypto miners shift their operations to support AI, they could help cover 10-15 gigawatts or more.

Brian Dobson from Clear Street says that if you want to invest in companies tied to both crypto and future AI growth, these miners are worth watching.

**Smarter Strategies for a Changing Market**

Some companies are now focusing on smarter investment strategies that can perform better when markets drop. Actively managed funds or those that use hedging techniques are gaining traction.

For example, VanEck’s Onchain Economy ETF has returned 32% since launching in May by avoiding highly leveraged companies. The fund’s manager, Matthew Sigel, believes active management is key because crypto is still a young and volatile market.

Another company, EMJ Crypto Technologies (EMJX), created the first actively hedged digital asset treasury. It holds bitcoin, ethereum, and selected altcoins while earning yield by selling options instead of constantly issuing new shares or taking on more debt.

EMJX recently went live after being acquired by SRx Health Solutions. Once the deal is finalized in early 2026, the company will trade under the EMJX ticker and be led by activist investor Eric Jackson.

**Bitcoin Still Leads the Pack**

Despite all the ups and downs, bitcoin remains the top choice in the crypto world. It has strong backing from institutions. Harvard University’s endowment now holds BlackRock’s iShares Bitcoin Trust as its biggest public investment. Wealth funds from Luxembourg, Abu Dhabi, and the Czech Republic are also buying in.

Crypto miners continue to favor bitcoin over other digital currencies too.

As more ways to invest become available—like regulated exchanges, safe storage options, and tools for managing price movements—crypto is starting to look a lot more like traditional markets such as commodities or stocks.

Coinbase’s D’Agostino says if you’re comfortable investing in things like gold, real estate, or art but still unsure about crypto, it may just be because you haven’t looked at how far the industry has come.