Metaplanet Squeezed by Crypto Market Volatility

Metaplanet's stock price dropped 5.7 percent on Thursday to €1.53, extending its seven-day losing streak and erasing 11 percent of its value.

The decline had nothing to do with corporate news but was instead triggered by the crypto market itself, with Bitcoin slipping one percent below the $78,000 threshold at the start of a historically challenging month for the digital asset.

September has consistently delivered an average loss of roughly three percent for Bitcoin over the years, and this year's edition is off to a fitting start. The Federal Reserve Chair Kevin Warsh's hawkish turn at the Jackson Hole symposium added to the pressure, sparking a global bond sell-off and pushing the yield on ten-year US Treasuries to 4.784 percent.

For Metaplanet, every fluctuation in Bitcoin's price flows almost one-for-one into the company's balance sheet valuation and directly affects its share price. This construction has produced outsized gains during Bitcoin rallies but reverses just as violently when the market turns sour.