Shares of bitcoin miner American Bitcoin (ABTC) have dropped below its initial IPO price after falling 15% on Thursday, the day after its debut on the Nasdaq.

ABTC was trading at $6.83 a share, down from its IPO price of $6.90.

The company, which is 80% owned by Hut 8 and 20% by Donald Trump Jr. and Eric Trump, opened for trading on Wednesday after completing its merger with Gryphon Digital Mining (GRYP). On the same day, the company filed for an at-the-market equity raise of up to $2.1 billion, with which it plans to continue building its bitcoin holdings.

Shares rose to a high of $14.65 during U.S. morning hours before falling sharply in the afternoon. Other miners, including Marathon Digital (MARA) and Riot Platforms (RIOT), are also trading lower on the day.

Similarly, Bitcoin (BTC) slipped 2% in the past 24 hours, moving in step with the broader crypto market, while U.S. stock indexes like the Nasdaq and S&P 500 are trading higher.

American Bitcoin, which holds about 2,443 bitcoin worth around $269 million at its current price of $110,128, pairs bitcoin mining with a treasury strategy focused on holding the asset.

Bitcoin mining has become a brutally competitive industry where survival depends on razor-thin margins and constant adaptation. Power costs eat up half or more of the revenue from each coin mined, while relentless expansion of the network’s computing power drives up difficulty and squeezes profitability further.

Hardware makers like Bitmain continue to flood the market with new rigs, adding pressure even when demand slows. As a result, miners must secure ultra-cheap energy, maintain efficient operations, and increasingly diversify into areas like AI computing or data centers just to stay ahead.

By stockpiling BTC in the open market, companies can benefit when prices rise, creating a financial cushion that helps smooth out the sharp swings in revenue from mining alone.

Bitcoin miner Marathon Digital (MARA) uses a similar strategy. Shares of the company are down 3% over the past 24 hours.