American Bitcoin’s stock took a harsh tumble this Thursday, falling nearly 20%. This sudden drop pushed shares below their initial launch price, a sharp reversal after the company’s strong Nasdaq debut. Meanwhile, the WLFI token, also connected to the Trump family, corrected by 44% from its high earlier in the week.
The company, known by its ticker “ABTC,” had a dazzling entry onto the Nasdaq exchange just the day before. On Wednesday, shares for American Bitcoin, a company focused on mining Bitcoin and backed by the Trump family, soared. They peaked at $14.65, more than doubling their starting price of $6.90. This surge briefly pushed the estimated 20% stake held by Eric Trump and Donald Trump Jr., sons of the former U.S. President, to a staggering $2.6 billion. However, by the end of its first trading day, the stock settled at $8, leaving the Trump sons with a valuation of $1.5 billion, as reported by Reuters. By Thursday, the picture looked different. Shares were trading at $6.45, according to Yahoo Finance. This price means a significant 55.8% slide from its high point on Wednesday.
American Bitcoin Isn’t Alone in Its Dive
American Bitcoin started operations in early 2025. The company plans to mine Bitcoin using equipment in New York, Alberta, and Texas. Hut 8 Corp. provides the technology and owns 80% of American Bitcoin. The company also aims to keep Bitcoin in its treasury. It currently holds 2,443 BTC, valued at roughly $269 million. On Wednesday, the company announced a $2.1 billion stock sale. This money is meant to buy more Bitcoin and mining equipment.
American Bitcoin’s stock drop isn’t an isolated event. It lines up with a broader cooldown in the crypto market. Bitcoin (BTC) itself fell 1.6% in the last 24 hours. It is now trading near $110,000, according to CoinGecko. Other companies that focus on crypto in their treasuries also saw their shares fall. MARA dropped 4.6%, Strategy lost 1.22%, and Bitmine, which has the largest Ethereum treasury, dipped 6.7% during the day.
Adding to the volatility, the WLFI token from World Liberty Financial also fell sharply. This project is another one backed by the Trump family. WLFI plunged 12.9% on Thursday. It had hit a high of $0.3313 earlier in the week. The token was listed on major centralized exchanges on Monday, which caused its price to spike. However, it has since dropped 44% from that peak.
Reports suggest that Nasdaq is thinking about increasing its oversight of companies that raise money to buy cryptocurrencies. This news might have played a role in American Bitcoin’s decline. The Financial Times noted that 154 U.S. companies have announced plans to raise $98.4 billion for this exact purpose since January 2025.
Despite some critics pointing to potential conflicts of interest, Eric Trump, American Bitcoin’s Chief Strategy Officer, stands by the project. He argues it helps strengthen the U.S. crypto infrastructure and dismisses any accusations. The Trump family continues to profit from the rising popularity of cryptocurrencies, with estimated gains of $5 billion following WLFI’s launch.