Shares of American Bitcoin Corp. (NASDAQ:ABTC) are trading lower Friday afternoon, pulling back from Thursday’s rally. The reversal reflects broader headwinds across the digital asset ecosystem following Friday’s labor market data.
- American Bitcoin stock is taking a hit today. Why is ABTC stock dropping?
Hotter-Than-Expected Payrolls Report Hits Crypto and Risk Assets
Shares of crypto-related companies are trading lower amid a decline in Bitcoin (CRYPTO: BTC) prices following August’s hotter-than-expected payrolls report, which boosted expectations for a potential Federal Reserve rate hike at its next meeting.
A stronger U.S. dollar and higher interest-rate expectations are further weighing on crypto and other risk assets by reducing investor appetite for speculative investments.
Profit-Taking Follows Thursday Surge and Nasdaq Listing Milestone
For American Bitcoin, Friday’s decline also follows intraday profit-taking after Thursday’s sharp rally, which coincided with company leadership celebrating ABTC’s first anniversary of going public on the Nasdaq.
In a statement highlighting the company’s operational scaling over its first year, Co-Founder and Chief Strategy Officer Eric Trump noted that American Bitcoin has expanded its treasury to 8,300 Bitcoin, backed by a fleet of nearly 90,000 active mining units operating at nearly 50% gross margins.
ABTC Shares Slide Friday Afternoon
ABTC Price Action: American Bitcoin shares were down 14.78% at $7.96 at the time of publication on Friday, according to Benzinga Pro data.
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