Bitmine Sinks 6%, MicroStrategy Slips 1% as Crypto Treasury Trade Unwinds
The crypto treasury trade is showing cracks as Bitmine Immersion Technologies (NYSE:BMNR) stock drops by 6% to $24.82, while MicroStrategy's (NASDAQ:MSTR) stock slides by a milder 1% to $142.79.
Both coins on their balance sheets are lower today, with Ethereum down 2.5% over the past 24 hours to $2,450.54 and Bitcoin down 2% over the same period to $79,628.44.
The difference in price moves between Bitmine and MicroStrategy lies in their recent performance, with Bitmine's stock up 37% over the past month leaving holders with no cost basis to defend.
MicroStrategy, on the other hand, has a more layered capital stack around Bitcoin, including a carrying value of $49.7 billion against a $63.9 billion cost basis, as well as a separate preferred dividend rate raised to 12% annualized and a remaining $975 million left on its STRC repurchase authorization.
Investors can watch for whether Bitmine stock defends the $24 level and whether MicroStrategy's stabilization program keeps its stock insulated from further downside.