🌎 Crypto Mining Stocks Plummet as Bitcoin Weakens, Market Declines

Many U.S.-based crypto mining stocks are reflecting Bitcoin’s weakness and are trading down to end the week.

At the time of writing, Hut 8 is down 11.2% to $12.34 a share. CleanSpark is now $13.35 a share, down 11.35%, while Riot Platforms is at $8.50, down 8.8%. Marathon Digital Holdings is down 3.3% to $17.48. Marathon disclosed in its Q2 financial report that it sold over 50% of the Bitcoin it mined during the quarter to fund operating costs.

The recent drop in stock prices comes as the Nasdaq and Dow Jones Industrial Average are experiencing a downturn. The Nasdaq is down 2.5% today. Tech stocks face a widespread sell-off, driven by investor concerns over inflated valuations.

Other crypto stocks, such as crypto exchange Coinbase, Microstrategy, and Paypal, are down 4-5% on the day.

At the same time, the crypto market is also in decline, with Bitcoin and other major digital assets suffering losses amid fears surrounding Genesis Trading’s financial stability.

Bitcoin was hovering slightly below $63,000 as of Friday’s start, a fall of 10% in the last five days. Last month, the value of Bitcoin dropped below the $55,000 mark, reaching levels not witnessed since February.

With the recent sale of 50,000 BTC by the German government, distributions from bankrupt exchange Genesis Trading, and impending sales from the U.S. government’s BTC stash, the crypto market continues to face supply disruptions.