Bit Mining stock jumped 250% in the pre-market after a Solana pivot but dropped later as investors weighed the sudden shift.
Bit Mining stock soared over 250% in early pre-market trading on July 10 after the company announced a major strategic shift toward Solana. However, despite the initial excitement, the momentum did not last long. The stock fell into negative territory as regular trading began.
Bit Mining Surge in Pre-Market: The Big Catch
It is worth noting that the sharp spike occurred after BIT Mining announced plans to fully pivot into the Solana SOL $138.0 24h volatility: 1.3% Market cap: $77.93 B Vol. 24h: $2.09 B ecosystem. According to the announcement, the company aims to raise between $200 million and $300 million to acquire SOL.
BIT Mining also confirmed that it would convert its existing digital asset holdings into Solana. According to the firm, it is positioning itself for emerging opportunities across the broader blockchain industry.
In pre-market hours, the New York Stock Exchange-listed shares of BIT Mining (BTCM) jumped as high as $11.20. That was more than a 200% leap compared to the July 9 closing price of $2.46. At one point, it was trading nearly 250% higher at $8.38 before the market officially opened. However, by the time regular trading began, the rally fizzled, and the stock moved into the red.
The Ohio-based company currently holds approximately 19 BTC BTC $90 661 24h volatility: 0.1% Market cap: $1.81 T Vol. 24h: $15.28 B , valued at around $2.1 million, according to Bitcoin Treasuries. These funds are expected to be transitioned into SOL as part of the company’s strategy. Management stated that the move is aimed at attracting investors seeking direct exposure to the Solana blockchain, which has garnered renewed attention over the past year.
Post-Halving Pressures Drive Shift to Alternative Revenue Paths
It is worth noting that BIT Mining’s decision to shift its focus to Solana reflects a broader trend among cryptocurrency mining firms since the Bitcoin halving in April 2024, an event that cut block rewards by half.
Following the event, many firms have struggled with reduced profitability and are seeking ways to diversify revenue.
In line with this, BIT Mining had earlier disclosed that its earnings from mining Litecoin and Dogecoin were three times higher than those from Bitcoin mining alone. In related news, Coinspeaker had previously reported that another mining company, Bit Digital, had recently converted its entire cryptocurrency treasury to Ethereum ETH $3 109 24h volatility: 0.6% Market cap: $375.20 B Vol. 24h: $6.64 B . The firm raised $150 million to pivot to Ethereum Staking.
For what it is worth, BIT Mining’s strategy with Solana appears to mirror this trend. This signals a broader transition away from dependence on Bitcoin. While the Bit Mining stock pop drew headlines, today’s dip shows the market remains cautious.
The dramatic pre-market gains, followed by a retreat, suggest that investors are still weighing the risks associated with the company’s ambitious shift. Whether this Solana-heavy plan will deliver long-term growth remains uncertain, but BIT Mining has made its intentions clear.
Interestingly, while BIT Mining is making a decisive pivot into the Solana ecosystem, another major company, Bluebird Mining, as reported by Coinspeaker, plans to adopt a Bitcoin strategy using future gold revenue.
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