Crypto Firm Tied to Trumps Sees Shares Sink as Lockup Ends

Core Viewpoint - American Bitcoin Corp. experienced a significant stock decline after the expiration of a lockup period for restricted shares, leading to a selloff that saw shares lose over 50% of their value in a short time frame [2][4]. Group 1: Stock Performance - The stock plummeted more than 50% within 30 minutes of the lockup expiration, eventually closing down 35% at $2.33 [2]. - Prior to this decline, American Bitcoin's shares had already fallen over 60% from a peak in September, reflecting broader negative sentiment in the crypto market [4]. Group 2: Market Context - The decline in American Bitcoin's stock coincided with a broader downturn in the cryptocurrency market, where Bitcoin itself dropped more than 25% from its early October high [4]. - The crypto market saw a rebound on the same day after nearly $1 billion in leveraged positions were liquidated [5]. Group 3: Investor Sentiment and Future Outlook - The president of American Bitcoin indicated that near-term volatility is expected as shares come to market, with retail investors often reacting by selling [3]. - Future lockup expirations are anticipated to have a significant impact on share prices, and investors may be more cautious in their selling strategies moving forward [5][6].