Digital Asset Treasury (DAT) stocks are in a freefall this week as Bitcoin and Ethereum prices retreat. MSTR stock retreated for the eighth consecutive day, reaching its lowest level since February 2024. Its market cap has dropped from $122 billion at its peak to $30.3 billion today.
BMNR, MSTR, ASST Stocks Have Plunged This Week
Tom Lee’s BitMine (BMNR) stock has plunged from a record high of $160 to $13, with the valuation falling from $17.7 billion to $7.6 billion today. The value of its Ethereum holdings has dropped to over $8.8 billion.
Vivek Ramaswamy’s Strive (ASST) has also imploded, moving from this month’s high of $20 to the current $11.5. Its valuation has slumped from $1.3 billion to $943 million.
The ongoing sell-off in MSTR, BMNR, and ASST is happening as Bitcoin and Ethereum prices plunge. Bitcoin dropped below the key support of $60,000, while Ethereum moved to $1,567.
This retreat is happening as crypto investors in key countries like Japan, South Korea, and the US have rotated to the booming stock market. Just today, Sandisk stock jumped by over 20% after the strong Micron numbers.
The rotation into the stock market is evident in ETF inflows. Data shows that Bitcoin and Ethereum ETFs have shed substantial assets this year, while stock ETFs like VOO have added billions of dollars. Therefore, weakness in the crypto market may persist for a while. In a note to Bankless Times, Utkash Ahuja, founder of Moon Pursuit Capital, said:
“Bitcoin may be maturing, but maturity does not erase volatility or cycle risk. If $60K fails to hold, the next phase may be less about panic and more about reassessing where the real bottom sits.”
STRC, BMNP, and SATA Have Fallen From Par
BMNR and ASST are also plunging as their preferred credit assets dive. STRC stock dived to $74 from the $100 par level.
Other Strategy’s stock, like STRD, STRF, and STRK, have also dropped sharply in the past few days as investors predict that Strategy will need to raise additional capital to cover its dividend payouts. Strategy raised $300 million by selling MSTR shares, bringing its cash to $1.4 billion, less than the $1.7 billion it needs to cover its dividends.
Strive’s Variable Rate Series A Perpetual Preferred Stock (SATA) retreated to $83.25 from the par level of $100. The recently launched BitMine BMNP has also plunged in each day since its launch, moving from $93 to $82.
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