What’s up, degens and diamond hands! Your favorite trader here, and we need to talk about the serious volatility that hit the markets, specifically targeting a high-profile name in the mining space.
Shares of American Bitcoin Corp (ABTC), the cryptocurrency firm linked to the Trump family, lost nearly 40% of their value in less than 30 minutes on Tuesday, December 2, 2025, according to reporting by The Guardian (Edward Helmore, December 2, 2025).
This sudden nosedive triggered repeated trading halts for the stock (The Guardian). The closing drop was exactly 38.8%, wiping approximately $1 billion from the company’s market value (The Guardian).
Market Facts & Context: The ‘Crypto Winter’
The sharp decline of ABTC is reported to follow a steep decline of many cryptocurrencies and crypto-linked companies, which some observers are labeling the onset of a “crypto winter” (The Guardian).
Here are the critical facts regarding the broader market selloff that preceded the ABTC drop:
- Bitcoin’s Value: Bitcoin’s value has fallen sharply since the start of October, erasing a year of large gains (The Guardian).
- The Plunge: Amid this broad selloff in the digital asset market, Bitcoin itself has plunged more than 30% from a peak of $126,272 on October 6, 2025, down to $92,133 (The Guardian).
- Trading Action: The massive trading volume in ABTC stock during the drop was almost 40 times the daily average, according to Bloomberg data cited by The Guardian.
- Stock Details: Shares dropped to $1.90 after closing the previous day at $2.39 (The Guardian).
Executive Response & Company Snapshot
The firm, a crypto mining business, is linked to Eric Trump, the president’s second son (The Guardian). He previously claimed on X that the Texas-based company handles 2% of the world’s bitcoin supply (The Guardian).
In response to the sharp drop, Eric Trump released a statement on X saying the sell-off was caused by investors exercising their option to “cash in on their profits for the first time which is why we will see volatility” (The Guardian).
He reinforced his position by stating: “I’m holding all my @ABTC shares – I’m 100% committed to leading the industry,” and maintained a bullish perspective by telling Bloomberg last month: “What a great buying opportunity… People who buy dips and embrace volatility will be the ultimate winners. I have never been more bullish on the future of cryptocurrency and the modernization of the financial system” (The Guardian).
In terms of recent financials, American Bitcoin Corp, which was created from another company (Hut 8 Corp) earlier in the year, reported third-quarter net income of $3.5 million on revenue of $64.2 million in November (The Guardian).
Also read: The Bear Trap Deconstructed: A Nomad Trader’s View on Bitcoin’s Bloodbath 🚨
❓ Your Quick FAQ on the ABTC Drop & Crypto Winter 🥶
Let’s dive into the most frequently asked questions about this selloff, pulling only the facts reported by major news outlets.
| Question | Fact/Answer | Source Citation |
| What caused the ABTC stock to drop? | The stock’s nosedive followed the steep decline of many cryptocurrencies and crypto-linked companies into what some observers are calling the onset of a “crypto winter” (Edward Helmore, The Guardian). The abrupt decline occurred amid a broad selloff in the digital asset market (The Guardian). | The Guardian |
| How much did ABTC stock lose? | Shares in the crypto mining business lost nearly 40% of their value in less than 30 minutes on Tuesday, December 2, 2025 (The Guardian). The company closed 38.8% lower (The Guardian). | The Guardian |
| What was the price change? | The shares, which trade as ABTC, dropped to $1.90 after closing the day earlier at $2.39 (The Guardian). The stock was previously at this lower level in May, before peaking at $9.31 on September 9 (The Guardian). | The Guardian |
| Did ABTC’s decline affect other Trump family ventures? | Yes, other Donald Trump-affiliated crypto ventures are also in the tank, including WLFI, a token of World Liberty Financial, which dropped from 26 cents in early September to about 16 cents (The Guardian). The crypto crash has taken out more than $1 billion of the wealth the Trumps generated through their crypto ventures and other businesses (The Straits Times). | The Guardian; The Straits Times |
| What did Eric Trump say about the drop? | He claimed on X that the sell-off was caused by investors exercising their option to “cash in on their profits for the first time which is why we will see volatility.” (The Guardian). He also stated he is “holding all my @ABTC shares – I’m 100% committed to leading the industry.” (The Guardian). | The Guardian |
| How big was the impact on market value? | The 38.8% drop resulted in roughly $1 billion being wiped from American Bitcoin Corp’s market value (The Guardian). | The Guardian |
| What has happened to Bitcoin’s price? | The underlying asset, Bitcoin (BTC), has plunged more than 30% from a peak of $126,272 on October 6, 2025, to $92,133 (The Guardian). | The Guardian |
| How have ABTC’s fundamentals been recently? | The company reported third-quarter net income of $3.5 million on revenue of $64.2 million in November (The Guardian). This reflected a move towards profitability in the third quarter (Markets.com). | The Guardian; Markets.com |
