NAKA Slides 55% on News of PIPE Investor Liquidations

AI-focused bitcoin mining stocks extended their rally on Monday, while Tesla surged following Elon Musk’s latest share purchase.

Bitcoin treasury company KindlyMD (NAKA) led declines, plunging 55% after PIPE shares from its recent SPAC were registered late Friday, enabling insiders to sell their holdings.

Bitfarms (BITF) rose 15% pre-market to $2.55, extending a 75% weekly rally. Other AI-oriented mining stocks also gained: IREN (IREN) climbed 3% pre-market, up more than 230% year-to-date, and Hive Blockchain (HIVE) added 5%, building on a 40% gain over the past month.

NAKA CEO David Bailey acknowledged the volatility in a shareholder letter, noting the stock remains 96% below its all-time high. “Resilience and discipline separate those who endure from those who fade. For shareholders seeking a trade, I encourage you to exit,” he wrote.

Tesla (TSLA) traded at $420, up 6% from Friday’s close, following SEC filings showing Musk purchased nearly 2.6 million shares. Meanwhile, CapitalB (ALCPB) acquired 48 BTC, raising its total holdings to 2,249 BTC, up 15% in European markets.