Crypto Stocks MicroStrategy, MARA, COIN Bleed as Bitcoin Retraces Rally

Key Takeaways

• Bitcoin’s price retraced by 6% over the past week, triggering significant losses for crypto-related stocks.
• MicroStrategy and Coinbase saw double-digit corrections.
• Bitcoin mining stocks, including MARA and Riot, also experienced notable declines.

Bitcoin’s (BTC) recent price retrace has wreaked havoc on a range of crypto-focused stocks, which had been soaring in tandem with Bitcoin’s all-time high of over $99,000 just a week ago.

As Bitcoin’s price dipped 6% to hover around $93,400, major companies tied to the crypto sector, from Coinbase (COIN) to MicroStrategy (MSTR), felt the heat of the correction.

Major Losses Across the Board

MicroStrategy saw its stock price take a 35% hit over the past week. After briefly reaching an all-time high of $535 , MSTR shares have since fallen to $353, erasing $30 billion from its market capitalization in just four days.

MicroStrategy stocks price retraces. Source: Google

Coinbase, the leading U.S. crypto exchange, also saw a sharp decline . COIN, which had recently hit a multi-year high of $332, retraced by 12%, dropping to $293.

While the downturn is notable, Coinbase’s stock has shown some resilience, tracking Bitcoin’s price recovery from its weekly low of $90,791.

Coinbase stock slumps. Source: Google

Bitcoin mining companies were not immune to the price correction.

MARA, one of the largest publicly traded Bitcoin miners, saw its stock drop by 6% on Tuesday, Nov. 26, marking a 15% decline from its multi-month high of $28.

At the time of writing, MARA was trading at $24.97. Similarly, Riot Platforms , another publicly listed mining company, saw its shares fall by 11%, trading at $11.17—a 27% decrease from its recent high of $14.97.

Riot Blockchain, another public mining company, saw its  stock price fall by 11% on Wednesday. RIOT stock price is currently trading at $11.17, 27% below its multi-month high of 14.97. 

Bitcoin’s Price Correction: A Healthy Adjustment?

While the recent correction is drawing attention, many market analysts view it as a normal part of Bitcoin’s bull cycle.

After a meteoric rise over the past month and a half, a pullback of up to 20% is often considered healthy in a peak bull market.

Therefore, Bitcoin’s 6% retrace should not necessarily be cause for alarm, though market observers are advised to stay vigilant and manage their risks carefully in the current market conditions.

Looking ahead, many analysts predict a trend reversal and are optimistic that Bitcoin’s price could soon surpass its recent all-time high, potentially reaching above $100,000 in the near future.

If this happens, it could provide a much-needed boost for crypto-focused stocks, which have taken a hit along with the price of Bitcoin.