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American Bitcoin, the crypto-linked company backed by the Trump sons, tumbled 8.4% on Wednesday and hit a session low ahead of a planned reverse stock split.
The share consolidation is intended to lift the stock's price and defend its Nasdaq listing — a move that typically signals a company is trading near the exchange's minimum thresholds.
A Reverse Split as a Lifeline A reverse stock split reduces the total number of shares in circulation while proportionally increasing the price per share, leaving each investor's overall stake unchanged in theory but placing the nominal price back above an exchange's compliance floor.
For American Bitcoin, that floor is the Nasdaq's continued-listing standard.
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