Marathon Digital (MARA) Stock: Over 10% Decrease Pre-Market Explanation

By Amit Chowdhry ● May 13, 2021
  • The stock price of Marathon Digital (NASDAQ: MARA) fell by over 10% pre-market. This is why it happened.

The stock price of Marathon Digital (NASDAQ: MARA) – a digital asset technology company that mines cryptocurrencies with a focus on the blockchain ecosystem and the generation of digital assets – fell by over 9% pre-market. Investors appear to be responding negatively to a decision made by Tesla CEO Elon Musk, which caused the price of Bitcoin to fall.

Musk had announced that Tesla is going to stop accepting Bitcoin for car purchases despite the electric vehicle company holding a massive amount of the cryptocurrency. Environmental concerns caused by Bitcoin mining were cited as a reason for the decision.

The stock price of Canaan closely follows movements in Bitcoin. And Bitcoin fell from about $57,794 as of 11PM ET yesterday to $49,203 as of 7:25 AM ET today.

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.