Cryptocurrency stocks, including miners and exchanges, were falling as bitcoin, ether and other key cryptocurrencies sank on Friday.
Crypto exchange Coinbase (COIN) was down about 10%, while MicroStrategy (MSTR), which held about 124,391 bitcoins on its balance sheet as of late December, fell about 8%. Shares of Robinhood (HOOD), whose crypto trading revenue has increased significantly in the last year, were down about 4%.
The stock declines comes as bitcoin has fallen almost 11% in the past 24 hours to $38,644, trading below $40,000 for the first time in months. Ether fell about 13% to roughly $2,804 over the same time period, while Solana’s SOL and Cardano’s ADA were both down about 14%.
Shares of publicly traded miners including Hive Blockchain (HIVE), Hut 8 Mining (HUT), Marathon Digital Holdings (MARA), Riot Blockchain (RIOT) and Bitfarms (BITF) were down by at least 5% in Friday’s trading.
Cryptocurrency stocks were also falling amid a broader stock market rout, with technology shares bearing the brunt of the recent downtrend. The tech-heavy equity index Nasdaq has fallen 5% this week and was down 1% on Friday. The index fell through some key technical support levels, including the 200-day moving average, for the first time since April 2020, Craig Erlam, senior market analyst at Oanda Corp, told clients in a note on Friday.
Meanwhile, Erlam noted that bitcoin was “getting pummeled, hit by another wave of risk aversion in the markets that has pushed the price below $40,000 and probably exacerbated the move in the process.”
UPDATE (Jan. 21, 17:22 UTC): Added information on Nasdaq's performance.