Why Bitcoin-Related Stock Marathon Digital Is Getting Hammered

Shares of companies in the broader tech and cryptocurrency sectors, including Marathon Digital Holdings Inc MARA, are trading lower amid overall market weakness as stocks continue to fall following Wednesday's Fed decision, in which the Fed raised rates by 50 bps and increased its federal funds rate projections.

Marathon Digital shares are also trading lower for the week amid volatility in the crypto sector following the recent FTX bankruptcy and arrest of Sam Bankman-Fried.

What Happened?

John Ray, the newly appointed CEO of FTX, said his predecessor Sam Bankman-Fried and his senior coterie had "free rein" over the troubled cryptocurrency exchange and its sister trading entity Alameda Research.

There were no distinctions between FTX, Alameda Research, and other firms which filed for bankruptcy protection last month, Ray said during a congressional hearing before the House Financial Services Committee on the fall of FTX and its effects on the cryptocurrency market...Read More

According to data from Benzinga Pro, MARA has a 52-week high of $40.78 and a 52-week low of $3.75.