Crypto asset treasury companies (DATs) are encountering increased selling pressure, leading to potential market risks. According to Odaily, after driving market growth last year, these companies are now facing challenges due to the decline in Bitcoin's value. Since Bitcoin fell from its peak of $126,000 last October, the median stock price of the 150 largest DATs has dropped by 62%, surpassing Bitcoin's own decline.
Hayden Hughes, managing partner at Tokenize Capital, notes that DATs lacking revenue and relying solely on crypto asset holdings may be forced to sell their positions to sustain operations. This situation could undermine investor confidence in the narrative of 'long-term holding,' potentially affecting broader market sentiment.
