Crypto Equities Follow Broader Market Sell-Off as Bitcoin Price Dips
Crypto-linked equities declined in pre-market trading on Thursday, following the broader sell-off in the stock market and Bitcoin's price dip of around 1% over the last 24 hours.
Among the affected stocks were BitMine Immersion Technologies (BMNR), Strategy (MSTR), Circle Internet Group (CRCL), Robinhood (HOOD), Block (XYZ), Coinbase (COIN), and Riot Platforms (RIOT), all of which fell more than 2% in early morning trade.
An exception was Hut 8 (HUT), whose stock rose over 2% after Morgan Stanley initiated coverage with an 'Overweight' rating and a $263 price target, citing recent agreements with hyperscale cloud providers as 'highly attractive terms.'
Citi lowered its Coinbase price target to $235 from $400 but maintained a 'Buy' rating, stating that the company's subscription and services revenue provide 'durable earnings support'. The bank reduced its earnings estimates for Q2, expecting spot volumes to reach a two-year low.