Argo Blockchain (LON: ARB) share price has been in a tailspin for the past few months. The stock of the publicly listed Bitcoin miner surged to 21p in February 2023. This was due to the soaring BTC price at the start of 2023. However, the price action was reversed as the BTC price failed to break above $30,500.
Cryptocurrencies are depicting a sideways price action on Thursday. Bitcoin, the biggest cryptocurrency by market cap, kept on fondling with the key psychological level of $25,000. Argo Blockchain shares were down 4.5% till press time in their second consecutive red day.
According to the most recent Argo Blockchain news, the company mined a total of 173 Bitcoin in May 2023. This amounted to total revenue of $4.75 million, 14% higher than the prior month. The company is also planning to upgrade its mining equipment at its Quebec facility.
Another reason behind the tanking Argo Blockchain share price is the fact that the company swung to a pretax loss in Q1 2023. This can be attributed to the lower revenue and mining margins and a reduction in foreign exchange gains.
The following LON: ARB chart shows that the ARGO stock has formed a descending wedge pattern on the daily timeframe. After weeks of sideways price action, the price has finally reached the apex of the pattern from where a big move is expected soon. Currently, the price is retesting the bottom of the wedge.
Argo Blockchain share price forecast will become extremely bearish if it breaks below this wedge. This will put a retest of the 2p level on the cards, which lies 73.5% below the current price. However, if the BTC price holds the $25,000 level, then such a move can be evaded.
In the meantime, you are also welcome to follow me on Twitter to keep track of my personal trades and the latest analysis on Argo Blockchain stock.
This post was last modified on %s = human-readable time difference 13:00