Bitcoin Miner MARA Dumps 15,133 BTC, Stock Price Climbs 10%

The MARA stock has climbed as much as 10% in premarket trading today following a filing that revealed that the Bitcoin miner sold part of its BTC holdings. The company revealed that it plans to use the proceeds to repurchase convertible notes.

Marathon Digital Sells 15,133 BTC, MARA Stock Jumps 10%

In an SEC filing, the Bitcoin miner revealed that it sold 15,133 BTC for an aggregate sale price of almost $1.1 billion between March 4 and March 25. The company plans to use the proceeds from the BTC sale to fund the note repurchase transactions.

Marathon Digital also revealed that it had entered into repurchase agreements with some holders of notes that mature in 2030 and 2031, and with holders of its convertible senior notes, which are due this year, 2031, and 2031. This marks a positive for the MARA stock, as it prevents dilution, since these convertible notes could have been converted into equity.

The MARA stock rose as much as 10% on the back of this filing, reaching $9.30, according to TradingView data. The stock is currently trading at around $8.70, still up over 5% today. However, the crypto stock is still down over 9% year-to-date (YTD).

Notably, the Bitcoin miner had filed a 10-K that revised its policy and expanded its approach beyond retaining miner BTC for long-term investment. This signaled that MARA could offload some of its holdings at some point, as the company stated at the time that it may now buy or sell BTC depending on market conditions and capital allocation priorities.

Market Conditions Pressure Miners

Meanwhile, this move comes amid the current bear market, which has weighed on MARA stock. The stock is down almost 50% in the last six months, just around the time when the Bitcoin price topped. The stock typically mirrors the leading crypto’s price action due to the company’s Bitcoin exposure.

Amid the current market downtrend, some Bitcoin miners have begun to pivot. Earlier this year, Bitdeer, which has one of the best cloud mining platforms, sold its entire holdings to fund its AI pivot.

Earlier this month, Core Scientific sold 1,900 BTC to fund its AI pivot. The firm also revealed plans to gradually offload all its BTC holdings to boost liquidity and fund capital expenditures tied to its AI colocation expansion.

Meanwhile, it is worth noting that with this Bitcoin sale, MARA no longer ranks as the second-largest public BTC treasury company behind Michael Saylor’s Strategy. The company is now third behind Tether-backed Twenty One Capital, which holds 43,514 BTC, according to BitcoinTreasuries data.