American Bitcoin Stock Falls Below IPO Price After Steep Drop
American Bitcoin (ABTC), a Trump-linked bitcoin miner, fell 15% on Thursday to $6.83, breaking below its $6.90 Nasdaq IPO price just a day after listing. Shares had briefly doubled to $14.65 in early trading Wednesday before reversing sharply.
The company, 80% owned by Hut 8 and 20% by Donald Trump Jr. and Eric Trump, went public through a merger with Gryphon Digital Mining (GRYP). It also filed for an at-the-market equity raise of up to $2.1 billion, aiming to expand its bitcoin holdings.
ABTC currently holds 2,443 BTC worth about $269 million. Its hybrid strategy of mining and treasury accumulation mirrors other miners like Marathon Digital (MARA) and Riot Platforms (RIOT), which also posted losses Thursday.
Bitcoin slid 2% in the past 24 hours to $110,726, even as the S&P 500 and Nasdaq advanced. The selloff highlights mounting pressures on miners, where high energy costs, increasing network difficulty, and aggressive hardware rollouts from companies like Bitmain continue to squeeze profitability, pushing firms toward diversification into AI and data services.