5 Stocks to Sell for a Bitcoin Slump

As 2025 comes to a close, it’s been a banner year for most asset classes. The S&P 500 is nearing a third consecutive 20% annual gain, commodities like gold and silver have soared to new all-time highs, and international stocks have actually outperformed their domestic counterparts.

With the expectation of further Federal Reserve rate cuts, it seems markets have the all-clear for more gains entering 2026. However, there's one asset class that hasn't felt like participating, despite strong investor risk appetite and a friendly administration: cryptocurrencies.

Bitcoin is down 2% year-to-date (YTD), including a more than 20% decline after hitting a new all-time high above $125,000 in October. Cryptocurrency drawdowns are often heavy, and many public companies with crypto strategies are feeling even more pressure.

Strategy Inc.

The pioneer of the Bitcoin Treasury strategy, Strategy Inc. (NASDAQ:MSTR), is having a turbulent 2025 amid weaker-than-expected crypto markets. CEO Michael Saylor pivoted his company (then known as MicroStrategy) from software to Bitcoin more than five years ago, and the initial results were astounding, as the stock rallied far beyond what its underlying Bitcoin holdings would suggest. Essentially, investors were paying $2 or $3 for every $1 of Bitcoin that Strategy would buy, mainly because there was simply no other place for institutional investors to gain access to cryptocurrencies. MSTR shares soared past their previous Dot-Com-era all-time high, leaping from $40 to $475 in less than a year. But now that Bitcoin ETFs are easily accessible, the MSTR premium is diminishing, and the stock has gone from a one-of-a-kind Bitcoin play to a debt-laden value trap.

MSTR shares have nearly been cut in half over the last 12 months, including a 20% decline in the previous month alone. The chart shows several bearish technical trends, such as the price tumbling below the 50-day and 200-day simple moving averages (SMAs), and the Relative Strength Index (RSI) indicating that bearish momentum has overtaken the trend. If Bitcoin continues to drop, Strategy could be forced to liquidate at low prices to meet debt obligations or issue new shares, further diluting current stockholders.

Bitfarms Ltd.

Bitfarms Ltd. (NASDAQ:BITF) is a global Bitcoin mining operator founded in 2017, currently boasting a $1.8 billion market cap and $193 million in annual revenue. Unlike many of its peers, Bitfarms was slow to reposition any of its vast data center array for AI or high-performance computing clients; instead, it focuses on pure Bitcoin mining as its primary operation. While the company recently announced plans to convert one mining center for AI GPUs, it won't be operational until late 2026, meaning it will have another year of relying on Bitcoin mining to fund its operations. 

As the economics of Bitcoin mining have become harsher, BITF shares have entered a drawdown following a parabolic run that ended in October. The stock has all the telltale signs of a rally gone wrong, with a sudden loss of momentum and price that quickly breaks through former support areas. Now that the momentum is trending downward, the 50-day SMA could become resistance, especially if Bitcoin continues to wobble and the company's primary revenue stream flattens.

Hut 8 Corp.

Hut 8 Corp. (NASDAQ:HUT) spun off a majority of its Bitcoin mining operations to Trump-owned American Bitcoin (NASDAQ:ABTC) earlier this year, but the stocks of both companies are under pressure following the expiry of the lockup on American Bitcoin's ABTC shares. Despite a massive Q3 2025 earnings beat on November 3rd, HUT shares appeared to have topped out, and Bitcoin’s waning price is weighing heavily on the company.

The double top appeared in October, predating the earnings beat, suggesting the news was likely priced in, and Bitcoin's spot price controls momentum in HUT shares. The 50-day SMA had previously been a reliable support level, but it has broken down and now acts as resistance to any upward momentum. The RSI confirms the weakening uptrend, which likely caps the stock until Bitcoin reverses course.

Bakkt Holdings Inc.

Bakkt Holdings (NASDAQ:BKKT) isn't a Bitcoin miner or a treasury company, but a digital asset platform that offers custody and trading services to institutional clients. The company’s custody services are its primary source of business, and with trading volume beginning to slow, the industry is no longer booming. The company's revenue has declined for four consecutive quarters, and with Bitcoin slowing, further declines in trading volume could impact the company's bottom line into 2026. 

BKKT shares had a sharp ascent in late September when cryptocurrencies briefly rallied, but the momentum is fading hard once again. The share price declines for 11 of 12 days in early October, driving the stock below the 50-day SMA and sending the Moving Average Convergence Divergence (MACD) indicator into a freefall. The decline has gained steam recently, with the 200-day SMA failing to halt the drawdown and now acting as resistance. The company faces several fundamental and technical headwinds and likely needs a massive reversal in crypto prices to restore its revenue streams.

Core Scientific Inc.

Core Scientific (NASDAQ:CORZ) operates data centers designed for Bitcoin mining but has diversified into GPU hosting using its high-performance computing services. The stock has been a high performer since its debut on public markets in January 2024, rising from under $3 to $18 in less than a year. But despite tailwinds from the AI and crypto markets, Core Scientific has faced diminishing revenue since the start of 2024. Losses are narrowing as well, but declines in digital asset revenue are weighing on the stock, which is down 13% in the last month.

Drawdowns aren't rare for small- to mid-cap tech stocks, but CORZ shares are approaching a key level that should signal the strength of the downward momentum. Once again, the action occurs around the 50-day SMA. After a steep drop below this level, buyers have stepped in to push the stock back up against the 50-day once again. The next few sessions should provide insight into the trend's next move; a rejection would signal more downside ahead.