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Stock impact report

Bitcoin slips, crypto stocks suffer steep declines, as tax-loss selling drives action, analysts say [Yahoo! Finance]

ETHZilla Corporation (ETHZ) 
Company Research Source: Yahoo! Finance
The decline came even as gold, silver and copper all surged to record highs (though have pulled back a bit in Tuesday afternoon trade). U.S. stocks are ahead modestly, the Nasdaq gaining 0.45%. Crypto-related stocks were showing far steeper declines than what the drop in bitcoin might suggest. The year's worst performers — digital asset treasury companies — were hardest hit across the board. Strategy (MSTR) was down 4.2%, XXI (XXI) off 7.8%, ETHZilla (ETHZ) lower by 16% and Upexi falling 9%. Other sizable decliners included Gemini (GEMI), Circle (CRCL) and Bullish (BLSH), all off by about 6%. Analysts at digital asset hedge fund QCP Capital flagged tax-loss harvesting as a potential driver of short-term action into the year-end, particularly in illiquid conditions. That means investors selling their underwater positions to realize losses, lowering their tax liabilities. "The end of year typically sees PMs [portfolio managers] trimming their exposure to risk assets not just Show less Read more
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