Cryptocurrency prices pared gains Monday after President Donald Trump announced a trade deal with China. Meanwhile, Strategy purchased another $1.3 billion worth of bitcoin for its coffers. Elsewhere, Hut 8 announced a deal to take its Trump-linked subsidiary, American Bitcoin, public later this year.
Bitcoin overnight Sunday rallied to a high of $105,747 following the China trade news, marking its highest price since late January. The cryptocurrency eased to $102,100 by Monday afternoon. The price of bitcoin is up more than 8% over the past week according to CoinMarketCap data, with a 2025 gain of 9%.
Ethereum has soared more than 35% over the past week to trade around $2,470 on Monday afternoon. ETH overnight reached $2,620 to mark its highest price since late February. Still, ethereum is down more than 26% so far this year.
Elsewhere, Strategy Chairman Michael Saylor on Monday announced that the company made another massive bitcoin purchase. Strategy acquired 13,390 bitcoin for about $1.34 billion, with an average price of $99,856 per bitcoin. As of May 11, Strategy holds 568,840 bitcoin acquired for $39.41 billion, or $69,287 per bitcoin.
American Bitcoin To Go Public
Meanwhile, Hut 8 reported that it will take its majority-owned mining subsidiary, American Bitcoin, public in a deal with Gryphon Digital Mining.
American Bitcoin was formed in March via a merger between Hut 8 and American Data Centers, which was backed by Eric Trump and Donald Trump Jr.
According to terms of Monday's announcement, Gryphon Digital will acquire American Bitcoin in a stock-for-stock transaction. Upon closing, the combined company will operate under the American Bitcoin brand. Shares will trade on the Nasdaq under the ticker symbol ABTC.
The company will be led by American Bitcoin's board, including Mike Ho, Justin Mateen, Michael Broukhim and Asher Genoot, the CEO of Hut 8. The management team will consist of Mike Ho, Matt Prusak and Eric Trump.
The transaction could close as early as Q3 of 2025. Existing American Bitcoin stockholders are expected to own about 98% of the combined company. Once the transaction completes, Hut 8 will own a majority of the outstanding stock for the combined company, according to the release.
Hut 8 will continue serving as American Bitcoin's exclusive infrastructure and operations partner.
Crypto Stock Action
Strategy shares eased 2.7% Monday, paring its 39% gain in 2025. Shares are trading above a possible handle for a cup base with a 403.90 buy point.
Coinbase stock popped about 4%.
The iShares Bitcoin Trust and other spot bitcoin ETFs slid a little more than 1% Monday. Shares of the group are trading above a handle entry at their May 2 highs.
That pattern is art of a larger consolidation stretching back to mid-December.
You can follow Harrison Miller for more stock news and updates on X/Twitter @IBD_Harrison
