Stocks of Bitcoin Digital Asset Treasury (DAT) companies have experienced significant declines, potentially triggering a negative feedback loop with Bitcoin's price. According to CryptoQuant, companies that raised funds through Private Investment in Public Equity (PIPE) programs are seeing sharp stock price drops. Notably, Kindly MD (NAKA) has plummeted 97% from its peak, while Strive (ASST), Cantor Equity Partners (CEP), and Empery Digital (EMPD) have faced declines ranging from 42% to 97%.
The weakening Bitcoin price could prompt PIPE investors to sell their shares, compelling these companies to liquidate Bitcoin holdings for cash, further pressuring BTC prices. CryptoQuant indicates that a sustained Bitcoin rally is essential to break this cycle and stabilize the market.
Bitcoin DAT Company Stocks Plummet, Threatening BTC Price Stability
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