Bitcoin Mining Stocks Plummet $12 Billion Amid Market Decoupling Concerns
Despite Bitcoin’s relative price stability, crypto mining stocks have experienced a significant decline, losing over $12 billion in market value and reverting to early 2024 levels. This unexpected decoupling between mining stocks and Bitcoin’s performance has sparked concerns about potential market turbulence. Meanwhile, Bitcoin’s price shows signs of recovery, but major challenges remain on the horizon.
Mining Stocks Lose $12 Billion Despite Bitcoin’s Stability
Crypto mining stocks have taken a sharp hit, shedding over $12 billion in market value and returning to early 2024 levels. The notable aspect is the timing of the drop, which occurred despite Bitcoin’s [BTC] relative price stability. This decoupling between mining stocks and BTC is raising concerns, as it often precedes periods of market turbulence. Source: Alphractal
Bitcoin Price Recovery In Play—But Major Hurdles Loom Large
Bitcoin price started a fresh decline below the $80,000 zone but is now correcting losses. BTC is facing resistance NEAR the $80,500 zone and the 100 hourly Simple Moving Average (SMA). A connecting bearish trend line is forming with resistance at $80,400. A low was formed at $74,409, but the price has started a recovery wave and moved above the $76,800 level.
‘Odds Increasing’ Of US Bitcoin Buy In 2025 – Galaxy Analyst
Alex Thorn, Head of Research at Galaxy Digital, has expressed a shift in his outlook regarding potential US government purchases of Bitcoin in 2025. Thorn now believes it is increasingly likely that the USA is making progress on the logistics and mechanics of a strategic reserve and may make at least one purchase of BTC in 2025. He cited recent comments from the Trump administration and an upcoming BTC audit deadline as reasons for the change in his prediction.
Bitcoin Futures Open Interest Slides as Traders Cut Risk Exposure
The Bitcoin ($BTC) futures market is experiencing significant headwinds, particularly in open interest (OI). Data from Glassnode reveals that the OI in Bitcoin futures has dipped to $34.5 billion, indicating a broader decline in trader positioning amidst negative price momentum. The blockchain analytics provider also discussed the waning OI on social media, highlighting a brief recovery from a low of $33.8 billion on April 3 but noting that the broader downtrend remains intact. Futures exposure continues to unwind as traders reduce risk in response to the declining price momentum.
The GME Effect: GameStop’s Bitcoin Move and Market Volatility
Video game retailer GameStop (GME) officially announced plans to buy Bitcoin with corporate cash, causing the meme stock price to jump initially but then succumb to uncertainty due to President Trump’s announcement of heavy tariffs. Concerns over a global trade war ignited a fresh wave of volatility in the market. Since President Trump’s inauguration, Bitcoin hit an all-time high of $109,000 but has lost 23.1% of its value, dragging down altcoins and meme coins. The total crypto market cap has also declined.
