Eric Trump-Backed American Bitcoin Down Over 60% In A Month, Yet This Analyst Just Initiated 'Buy' Rating For ABTC Stock - American Bitcoin (NASDAQ:ABTC)

Core Viewpoint - American Bitcoin Corp. (NASDAQ:ABTC) is experiencing significant sell-offs, yet a Roth Capital analyst has projected a more than 100% upside for the stock, indicating potential recovery and growth opportunities [1][2]. Group 1: Analyst Coverage and Ratings - Roth Capital analyst Darren Aftahi has initiated coverage of ABTC with a "Buy" rating and set a price target of $4, which represents a 106% upside from the stock's closing price on Wednesday [2]. - Aftahi has a historical accuracy rate of 47% in his analyses [2]. Group 2: Stock Performance and Market Context - ABTC's stock has faced a decline of over 60% in the past month and nearly 20% in the past week, primarily due to the expiration of its lock-up period for early investors [3]. - Following the lock-up expiration, the stock price dropped 38%, despite co-founder Eric Trump stating he would not sell his stake [4]. Group 3: Company Background and Financials - American Bitcoin is a majority-owned subsidiary of Hut 8 Corp. (NASDAQ:HUT) and completed an all-stock merger, beginning trading on Nasdaq in early September [4]. - The company is building its strategic Bitcoin reserve and currently holds 4,783 BTC, valued at approximately $432 million [4]. Group 4: Current Market Conditions - As of the latest data, Bitcoin (BTC) is trading at $90,056.83, down 2.80% in the last 24 hours [5]. - American Bitcoin shares rose by 1.55% in pre-market trading after a 5.37% decline during the regular trading session on Wednesday [5].