Crypto-related stocks slipped early Tuesday as Bitcoin's blistering rally appeared to take a pause.
The world's largest cryptocurrency hurtled toward the $90,000 milestone overnight, before easing back below $87,000.
Riot Platforms fell 7%; CleanSpark fell 6%; Marathon Digital fell 3%; Canaan fell 2%; MicroStrategy, Coinbase fell 1%.
The recent price action, highlighting the stocks exposure to Bitcoin, points to increased volatility ahead as investors continue to figure out just how beneficial the Trump administration could be for cryptocurrencies.
The president-elect promised earlier this year to make the U.S. the crypto capital of the world and replace Securities and Exchange Commission Chair Gary Gensler, who has taken an aggressive stance on cryptocurrencies.
"Investors and traders have piled into the cryptocurrency in the belief the president-elect will loosen regulations and build a strategic reserve of Bitcoin," AJ Bell investment director Russ Mould said Tuesday.
"The more the price goes up, the more publicity bitcoin will get, and the more it will get on the radar of people looking to make money. This can't go on forever, but it certainly feels like a purple patch for now, " he added.
