Cryptocurrency miner stocks like Riot Blockchain (NASDAQ:RIOT), Marathon Digital (NASDAQ:MARA) and Bit Digital (NASDAQ:BTBT) are tumbling in Monday morning trading, outpacing the swoon in bitcoin (BTC-USD) and other major digital tokens amid a broader selloff in risk assets.
The global crypto market cap is standing at $1.50T at the time of writing, off a whopping 50% from its peak in November. Bitcoin (BTC-USD -5.6%) is plunging to $32.6K over the past 24 hours and ethereum (ETH-USD -5.5%) is dropping to sub $2.4K.
At a time when a slew of central banks pivot to tighter monetary policy to tame persistently high inflation, “most investors have taken a risk-off approach — selling stocks and cryptos alike in order to cut down risk,” said Darshan Bathija, chief executive crypto exchange Vauld, as quoted by Bloomberg. Recall in the week ended May 6 when the Federal Reserve hiked the target rate by the most in 22 years and guided for balance sheet runoff starting in June.
Crypto miners: SOS (SOS -7.8%), HIVE Blockchain (HIVE -13.6%), BIT Mining (BTCM -10.8%), Hut 8 Mining (HUT -13.5%), Bitfarms (BITF -14.9%), CleanSpark (CLSK -12.4%), Greenidge Generation (GREE -10.6%), Core Scientific (CORZ -14.5%) and Argo Blockchain (ARBK -14.5%), Stronghold Digital (SDIG -16.6%) and Cipher Mining (CIFR -17.4%).
Other crypto-focused stocks deep in the red are: MicroStrategy (MSTR -20.6%), Coinbase Global (COIN -14.3%), Galaxy Digital Holdings (OTCPK:BRPHF -22.3%), Silvergate Capital (SI -12.9%) and Bakkt (BKKT -12.1%).
Earlier, Bitcoin Strategy ETFs fall to record lows.