Microstrategy (MSTR) fell 25% and Coinbase (COIN) dropped 20%, setting the tone for crypto-related stocks, while Bitcoin (BTC) fell from $40,000 a few days ago to as low as $30,200 Monday afternoon.
Mining companies Marathon Digital (MARA) and Riot Blockchain (RIOT) each fell 19%. Crypto banking-related names Galaxy Digital (GLXY.TO) and Silvergate Capital (SI) fell 27% and 19%, respectively.
Coinbase's stock is down more than 70% since its April 2021 IPO after today's plunge, and the company will report its first-quarter results after the market closes on Tuesday. At Microstrategy, Michael Saylor and his team first bought Bitcoin in August 2020 - 21,454 coins for $11,650 each. Subsequent purchases have brought the holdings to more than 129,000 Bitcoin at an average price of $30,700 each - meaning the company is now roughly breaking even.
The selloff in cryptocurrencies was accompanied by continued heavy pressure on stocks, particularly the technology sector. The Nasdaq fell another 4.3% today, the S&P 500 fell 3.2% and the DJIA fell 2%.
"Bitcoin's long-term fundamentals haven't changed in months, but growth/recession concerns have made this a very difficult environment for cryptos," wrote Edward Moya, senior market analyst at OANDA. "No one wants to buy the crypto dip, and that makes Bitcoin vulnerable here," he added.