Key Highlights
- Bitcoin Depot stock fell about 71% in a single trading session, dropping from above $2 to around $0.77.
- Trading volume spiked to about $5.4 million, showing heavy panic selling and strong investor exit pressure.
- The company shut down its Bitcoin ATM network after filing for Chapter 11, with operations now being wound down and assets expected to be sold.
Crypto ATM operator Bitcoin Depot’s stock (BTM) fell sharply on Monday, with the stock dropping around 71% in a single trading day after the company filed for Chapter 11 bankruptcy protection in the United States.
The stock opened strong, trading above $2 during early hours, but quickly dropped to about $0.85 later in the session.
The fall was fast and heavy as many investors rushed to sell their shares at the same time. Trading activity has surged up to $5.4 million; however, with the price drop, this suggests that it is just investors selling their shares, not buying.
At the same time, the company’s total market value dropped sharply to around $8.82 million as the price kept falling.
Volume spike amid heavy selling pressure
The massive drop can be easily seen on the chart as it created an imbalance. From $2.65, the price dropped, leaving a very wide space in the chart with no candle printed. This kind of move shows panic in the market, where the price falls too quickly for normal trading to take place.
Overall, the stock is now 99% down from its all-time high of $78. Aside from that, the Relative Strength Indicator (RSI) shows that the stock has entered an oversold level twice now, which suggests zero chance of recovery. In short, the stock was sold very aggressively with very little buying support.
Bitcoin Depot faces regulatory and operational pressure
Bitcoin Depot operates as a major Bitcoin ATM network provider. The company once ran more than 9,000 kiosks across the United States, Canada, Australia, and Hong Kong.
It built its business around cash-based crypto access through machines placed in stores, malls, pharmacies, and gas stations. But now, the company has shut down its ATM network as part of its Chapter 11 bankruptcy process. Instead of trying to continue business, it is now closing operations and preparing to sell its assets.
This is because the company’s business model has been facing a lot of pressure recently, especially from regulators in the country as they tighten their rules around crypto ATMs.
As of now, several U.S. states have introduced strict transaction limits, some as low as $500 per day, while others have moved to restrict or ban ATM crypto operations. Law enforcement also warned about scams linked to Bitcoin ATMs, especially fraud cases where victims were tricked into sending money through machines. According to the company, fraud-related controls alone were expected to reduce revenue by 30% to 40% in 2026.
Cyberattacks and leadership added to the pressure
In the months before the bankruptcy filing, Bitcoin Depot went through several setbacks. In March, it reported that about 50.903 Bitcoin was stolen from its wallets in a cyberattack, valued at about $3.665 million.
Around the same time, the company also changed its CEO, with Alex Holmes taking over leadership after Scott Buchanan left. Holmes said the business was under heavy pressure and described the situation as one where the company’s current model was no longer working.
The bankruptcy case covers all U.S. operations. Canadian operations are going through a separate process, while international operations in places like Australia and Hong Kong are being closed under local rules. The company’s assets, including machines, software, and contracts with stores, may now be sold. Lawyers and financial advisors are handling the process as the company winds down.
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