Donald Trump

American Bitcoin

World Liberty Financial

<p>American Bitcoin Corp. (ABTC) experienced a dramatic market shock on Tuesday, December 2, 2025, with shares plunging by roughly 50% in under 30 minutes after a lockup period expired for early investors.</p>
<p>The sudden drop triggered multiple trading halts and marked one of the company’s most volatile trading sessions since its public debut.</p>
<h3 id="lockup-expiry-frees-shares-from-pre-merger-private-placement">Lockup Expiry Frees Shares From Pre-Merger Private Placement</h3>
<p>The unlocked shares originated from a private placement executed before American Bitcoin merged with Gryphon Digital Mining. As the lockup lifted, traders braced for potential selling pressure, a common reaction when early investors gain the ability to liquidate their holdings.</p>
<p><img loading="lazy" src="https://www.ethnews.com/wp-content/uploads/2025/12/ABTC_2025-12-03_10-39-00-scaled.png" alt="" width="2560" height="1735"></p>
<p>The chart shows the collapse unfolding almost instantly as ABTC slid from above $4.00 into the low-$2.00 range on extreme volume. The move reflects a sharp liquidity imbalance, with selling overwhelming bid-side support before the stock attempted a modest rebound.</p>
<h3 id="eric-trump-says-he-s-holding-his-position">Eric Trump Says He’s Holding His Position</h3>
<p>Despite the turmoil, Eric Trump, who co-founded the mining firm alongside Donald Trump Jr., moved quickly to reassure shareholders. In a post on X, he stated he remains “100% committed to leading the industry” and confirmed he is holding all his personal shares.</p>
<p>His statement did little to slow the initial decline, but the stock later recovered part of its losses, finishing the session down 35% at $2.33.</p>
<blockquote class="twitter-tweet">
 <p>Thanks <a href="https://twitter.com/Coachjv_?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">@Coachjv_</a>. Today our pre-merger private placement shares unlocked — these early investors are freely available to cash in on their profits for the first time which is why we will see volatility.</p>
 <p>Our fundamentals are virtually unmatched and our differentiator: mining BTC… <a href="https://t.co/7h1Aqjt8iE" rel="noopener noreferrer nofollow">https://t.co/7h1Aqjt8iE</a></p>
 <p>— Eric Trump (@EricTrump) <a href="https://twitter.com/EricTrump/status/1995926632410820894?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">December 2, 2025</a></p>
</blockquote>
<p></p>
<h3 id="sell-off-reflects-broader-retail-fear-around-lockup-events">Sell-Off Reflects Broader Retail Fear Around Lockup Events</h3>
<p>Market analysts note that retail investors frequently react defensively to lockup expirations, fearing that insiders or early backers will rush to sell. This expectation alone can spark a chain reaction, even before significant selling actually occurs.</p>
<p>The sell-off coincided with a choppy crypto market session, though Bitcoin itself was trading above $91,000, signaling that ABTC’s collapse was driven primarily by company-specific pressure rather than sector-wide weakness.</p>
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<h3 id="decline-extends-months-of-weakness-for-abtc">Decline Extends Months Of Weakness For ABTC</h3>
<p>American Bitcoin’s drop comes after a difficult stretch for the company. The firm, originally spun out of Hut 8, has already fallen more than 60% from its September high. The latest crash compounds concerns around its post-merger performance, investor confidence, and the firm’s ability to stabilize amid ongoing volatility.</p>
<p>The price action also mirrors struggles seen across other Trump-affiliated crypto ventures, including several meme coins and tokens tied to World Liberty Financial (WLFI), many of which have suffered steep declines.</p>
<h3 id="a-volatile-session-highlights-investor-sensitivity">A Volatile Session Highlights Investor Sensitivity</h3>
<p>The chart reveals how quickly sentiment turned once the lockup expired. ABTC’s price collapsed in a waterfall pattern, followed by heavy-volume bids attempting to re-establish support around the $2.20–$2.40 zone.</p>
<p>For now, ABTC faces a critical test: whether it can rebuild market trust after one of the sharpest and fastest declines seen in a publicly traded crypto-mining firm.</p>
<p>The post <a href="https://www.ethnews.com/eric-trumps-bitcoin-mining-venture-hit-by-sudden-50-price-collapse/" rel="noopener noreferrer nofollow">Eric Trump’s Bitcoin Mining Venture Hit By Sudden 50% Price Collapse</a> appeared first on <a href="https://www.ethnews.com" rel="noopener noreferrer nofollow">ETHNews</a>.</p>

Eric Trump’s Bitcoin Mining Venture Hit By Sudden 50% Price Collapse

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