Bit Digital, Inc. (BTBT), a bitcoin mining company, experienced a significant 7.18% drop in its stock price during Wednesday's trading session, as the broader cryptocurrency market faced selling pressure amid growing economic concerns.
The plunge in Bit Digital's shares coincided with Bitcoin's decline below the $97,000 mark, with over $555 million worth of positions being liquidated. This sell-off was fueled by a series of positive U.S. economic indicators that raised fears of potential inflation resurgence, potentially delaying the Federal Reserve's plans to ease monetary policy.
Stronger-than-expected job openings data and an acceleration in services sector activity, coupled with rising input prices, pointed towards a robust economy. This pushed benchmark 10-year Treasury yields to their highest level since April, weighing on risk assets like cryptocurrencies and their associated stocks.