Bitmax is showing a steep decline in the early trading on the 7th. Bitmax gained significant attention recently as the stock price surged more than 6 times after purchasing a large amount of virtual assets under the Korean version of the strategy. Despite recently buying more Bitcoin, it appears profit-taking and stock price adjustments are occurring due to the rapid price increase in a short period.
As of 9:22 a.m. on the day, Bitmax is trading at 5,160 won, down 740 won (12.54%) from the previous trading day.
Bitmax has adopted a virtual asset TREASURE strategy, securing Bitcoin which has led to a recent surge in its stock price. According to Bitmax on the 4th, it recently purchased an additional 49.1 Bitcoins, bringing its total holdings to 349.19. The purchase amount is being covered through the issuance of convertible bonds (CB) and other means.
The stock price of Bitmax rose from the 1,000 won range at the beginning of May to 7,120 won as of the 26th of last month, increasing more than six times. However, as the stock price surged in a short period, selling for profit realization is pouring in. The stock price has continued to decline steadily after hitting a peak, sinking to just above the 5,000 won range.
Concerns are also arising that a large amount of equity may be released into the market as the Largoos Brick investment fund, a major shareholder, is entering the dissolution process after the distribution of the convertible bond (CB) shares. Bitmax stated on the 4th, "Some shareholders were excluded from special relationships due to the withdrawal from the Largoos Brick No. 2 investment fund and the cancellation of the convertible bond transfer contract."