GameStop Shares Drop Almost 6% Following Bitcoin Purchase Announcement
Shares of GameStop (GME) fell close to 6% on Thursday as investors reacted to the company’s disclosure of its first bitcoin acquisition.
On Wednesday, GameStop announced it had acquired 4,710 bitcoins, marking a significant step in its crypto treasury strategy first unveiled in March alongside a $1.3 billion capital raise intended to support such purchases.
Despite the excitement, the roughly $500 million bitcoin purchase appeared relatively small compared to GameStop’s $14 billion market cap and cash reserves. The specific timing and price of the bitcoin buys were not disclosed.
Prior to the announcement, GameStop shares surged over 60%, recovering from earlier losses caused by broader market uncertainty and tariff news. However, since the reveal, the stock has declined nearly 20%, a move some attribute to investors “selling the news” or possible skepticism about the influx of corporate bitcoin investments recently hitting the market.
