Nasdaq's Crypto Rules Trigger Stock Declines; Bitcoin Dips
Crypto Stocks Plunge Amidst New Nasdaq Regulations
Crypto-related stocks experienced a downturn on Thursday following the introduction of new Nasdaq rules. These rules mandate shareholder approval for companies issuing stock to acquire crypto assets.
Nasdaq's decision aims to bolster market integrity, addressing concerns about firms raising substantial capital through intricate structures for crypto investments. Non-compliant firms risk suspension or delisting.
Market Impact
The announcement triggered a sell-off in crypto equities and tokens. Notable movements included:
- Strategy: Initially fell by 3.5%, recovering to a 2% loss by midday.
- BitMine Immersion: Dropped nearly 9%.
- SharpLink Gaming: Tumbled 11%.
- Ethzilla: Plunged 15% before partially recovering to a 9% decline.
Bitcoin and Broader Market Trends
Bitcoin slipped 2.5% to $109,500, breaching the $110,000 mark. Ethereum decreased by over 3% to $4,300, and Solana fell 3.5%, hovering just above $204.
The broader crypto market contracted by 2.2% in the last 24 hours, with total market capitalization declining to $3.8 trillion, as reported by CoinGecko.