Written by Joey Frenette at The Motley Fool Canada

On the surface, the S&P 500 is on the pricier side and may be more vulnerable to pullbacks if corporate earnings don’t absolutely shine. However, underneath the surface, there are massive winners (and bubbles, of course), as well as underperformers, some of which, I think, are oversold and offer significant value for investors willing to discover opportunities in a market that would have most sidelined either due to nerves, volatility, valuations, or all of the above!

With many investors turning to Bitcoin as well as other cryptocurrencies amid the rise of exchange-traded funds (ETFs) and other instruments that have made it quite easy, even for beginners or speculative traders who know absolutely nothing about crypto other than it’s done well in recent years, I think that those looking to diversify might wish to give the alternative asset class another look.

So, whether you’re a long-term investor who just wants an asset that’s not a stock or if you’ve got a bit of extra cash you wouldn’t mind parting ways with, the crypto scene is intriguing, especially amid the recent uptick in volatility, which might give dip-buyers a second shot to get in on an asset.

It’s impossible to predict where Bitcoin and the like are headed next. Like most commodities, there are too many variables to consider. And even if you could make sense of them and pin a price target on the asset, there are probably black swans that would send prices in the other direction.

Either way, I like crypto, not as a risk-off hedge like gold, but as another alternative asset that might deliver outsized returns relative to the market for those willing to put up with the wilder swings. In essence, I’m more inclined to view Bitcoin as a high-growth tech stock, perhaps a more speculative one in AI, than anything like gold. And when it comes to the Bitcoin miners, the volatility and risks are levelled up, given the operating leverage that’s added on top. Like gold miners, which are way choppier than the price of gold itself, Bitcoin miners take volatility to the next level. But at the same time, one can enjoy bigger upside potential when Bitcoin does make a big upside move.

Some big names in the market are bullish on Bitcoin. And while I’m not so bullish, I still think that those keen on betting on the asset might wish to consider the miners as a short-term trade. Here on the TSX Index, there’s no shortage of crypto miners or Bitcoin ETFs to buy.

Bitfarms (TSX:BITF) stands out as an intriguing name, especially now that it’s come off its explosive upside September-October surge. Shares have plunged 35% from those levels, but is the dip in the $2.35 billion miner and AI data centre play a buying opportunity or a sign to run?