American Bitcoin Corp. shares sank 8.4% to a record low of $0.62 on Wednesday as investors brace for a dramatic share consolidation. The Bitcoin mining firm, co-founded by Eric Trump and Donald Trump Jr., is executing a 1-for-15 reverse split scheduled to take effect after the market closes at 5:00 p.m. ET on Thursday.
The strategic maneuver is an emergency defense mechanism. The company, which trades under the ticker ABTC, is artificially inflating its per-share price to regain compliance with Nasdaq Listing Rule 5550(a)(2). That regulation mandates companies maintain a minimum closing bid price of $1.00. Split-adjusted trading will commence on Monday, July 6.
Key Details
- The reverse split will violently contract the company’s outstanding supply, reducing total shares from roughly 1.09 billion down to approximately 73 million.
- Despite accumulating over 7,500 BTC to become the 16th-largest corporate holder globally, ABTC reported an $81.7 million net loss in the first quarter of 2026.
- The $0.62 closing price represents a 92% loss in shareholder value since the company went public in September 2025.
American Bitcoin officially entered the public markets less than ten months ago via a reverse merger with Gryphon Digital Mining. That launch generated immense hype, pushing the Trump brothers’ stake to an estimated $1.5 billion at peak valuation. But the company has faced severe financial headwinds in 2026.
The stock’s collapse reflects broader market apathy toward crypto-mining equities. Recent Bitcoin price stagnation below $60,000 and escalating operational costs have squeezed mining profit margins across the sector.
How the Float Reduction Alters ABTC Trading
When the outstanding supply drops to 73 million shares on Monday, the trading mechanics of ABTC will fundamentally change. Retail investors holding fewer than 15 shares will likely see fractional cash payouts depending on broker policies. More importantly, the drastically reduced float could trigger severe price volatility. A lower share count means smaller volume can swing the share price much faster, a dangerous dynamic for a stock already down 92% in under a year.