Shares of US-listed crypto-linked companies plummeted as Bitcoin fell over 15% due to fears of a recession triggered by weak economic data, leading to a sell-off of risky assets, Reuters reports.
Crypto miners like CleanSpark, Bitfarms, Riot Platforms, and Marathon Digital saw their shares drop between 12% and 25%. Coinbase shares fell 18%, and MicroStrategy, a major Bitcoin holder, slipped nearly 23%. Bitcoin hit its lowest level in nearly six months, and Ether also saw a significant drop of 19%.
Previously, the sector had seen optimism due to the approval of ETFs linked to bitcoin and ether prices and a pro-crypto speech by Donald Trump. However, the recent negative economic indicators, such as higher unemployment and weak manufacturing, impacted risky assets like cryptocurrencies.