Crypto stocks experienced a mixed trading day in the US on Monday, as investors reacted to the latest acquisitions by crypto treasury firms while also responding positively to new developments in the sector.
Early trading for crypto-related stocks declined in the US and Canadian markets on Monday, following Bitcoin’s (BTC) drop below $113,000 for the first time in nearly two weeks, as enthusiasm stemming from the Federal Reserve’s anticipated rate cut dwindled.
Monday’s losses were predominantly driven by crypto treasury companies, which purchase and hold cryptocurrencies.
Crypto treasuries dominate Monday’s losers
Helius Medical Technologies (HSDT), a medical device company, saw the biggest share price decline among crypto-related firms, finishing the trading day down 33.6% after announcing its inaugural purchase of Solana (SOL). The company experienced an 8.6% rebound in after-hours trading to $17.40.
The firm invested over $175.6 million, acquiring 760,190 SOL at an average cost of $231. With Solana declining by 7% to $218, Helius’ holdings are now valued at under $166 million.
Additionally, shares of the Changpeng Zhao-backed vape company turned BNB (BNB) treasury, CEA Industries (BNC), dropped 19.5% following the announcement of a $500 million share offering on Sunday, which they indicated would lead to increased volatility.
Further contributing to the day’s losses was Tom Lee’s BitMine Immersion Technologies (BMNR), which closed down 10% after revealing a $1.1 billion purchase of Ether (ETH). The Bitcoin-centric company Strategy Inc. (MSTR) also recorded a 2.5% decline after a $99.7 million BTC acquisition.
Crypto pivoting AgriFORCE, Qualigen shine as Monday’s top gainers
While the declines from treasury companies affected share prices, announcements of new crypto strategies produced a positive outcome.
AgriFORCE Growing Systems (AGRI), a provider of farming technology, saw its shares soar by nearly 138% following plans to rebrand as AVAX One and raise $550 million to acquire Avalanche (AVAX).
Related: Metaplanet becomes fifth-largest corporate Bitcoin treasury with $633M buy
In a similar vein, shares of Qualigen Therapeutics (QLGN), which develops cancer treatments, surged nearly 95% after the company announced an investment of $41 million to start a “crypto and web3-related business” with support from EV startup Faraday Future.
Bakkt and Semler contribute to Monday’s winners
On Monday, the crypto custody and trading firm Bakkt Holdings (BKKT) experienced a more than 40% rally following its appointment of crypto entrepreneur Mike Alfred to its board of directors, who has a history of founding and leading various crypto companies.
Shares of Semler Scientific (SMLR), which transitioned from medical devices to Bitcoin treasury, also increased by over 9.8% after the announcement that asset manager Strive Inc., led by former presidential candidate Vivek Ramaswamy, would acquire it. Conversely, shares in Strive Inc. (ASST) fell by 4.6%.
This mixed trading session follows comments from HashKey Capital CEO Deng Chao, who told Cointelegraph on Saturday that only crypto treasury firms with long-term strategies would “survive any market,” emphasizing the importance of building sustainable value instead of seeking short-term profits.
“Digital assets themselves are not inherently unsustainable; it is how they are managed that makes the difference,” Chao stated.
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