Bit Digital's stock experienced a significant decline, falling nearly 19% over five days to close at $1.99 on June 27, marking a 15% drop within a day. The downturn followed the announcement of a $150 million public offering and a strategic shift from Bitcoin mining to Ethereum staking. The company intends to issue 75 million ordinary shares at $2 each, with proceeds directed towards acquiring Ether. This decision comes as Bit Digital aims to establish itself as a pure-play Ethereum staking and treasury company, intending to liquidate its Bitcoin holdings to bolster its Ethereum assets. As of March 31, the company held 24,434 ETH and 417 BTC, valuing approximately $44.6 million and $34.5 million respectively. Following this pivot, Bit Digital’s market position has slipped from the 12th to the 13th-largest Bitcoin mining company. Despite investor skepticism and a 40% decline in stock prices this year, the firm remains committed to its transition to Ethereum.

Source 🔗