Bitcoin mining stocks end the week in a slump

Reflecting Bitcoin’s weakness, many US-based crypto mining stocks are closing the week lower.

At the time of writing, Hut 8 is down 11.2% to $12.34 per share. CleanSpark is currently down 11.35% to $13.35 per share, while Riot Platforms is down 8.8% to $8.50.

Marathon Digital Holdings fell 3.3% to $17.48. Marathon revealed in its Q2 financial report that it sold more than 50% of the Bitcoin (BTC) it mined during the quarter to cover operating costs.

The recent decline in stock prices comes as the Nasdaq and the Dow Jones Industrial Average have fallen. The Nasdaq is down 2.5% today. Tech stocks are facing a widespread sell-off as investors worry about inflated valuations.

Other crypto stocks such as cryptocurrency exchange Coinbase, Microstrategy and Paypal fell 4-5 percent during the day.

Bitcoin in decline

At the same time, the cryptocurrency market is also in decline, with Bitcoin (BTC) and other major digital assets suffering losses due to concerns over the financial stability of Genesis Trading.

Bitcoin was trading just below $63,000 at the start of Friday, a 10% drop in the past five days. In the past month, Bitcoin’s value has fallen below $55,000, reaching levels not seen since February.

The cryptocurrency market continues to face supply disruptions, with the German government’s recent sale of 50,000 BTC, the rollout of bankrupt exchange Genesis Trading, and the impending sell-off from the U.S. government’s BTC stockpile.