Bit Origin's 39% Plunge: A Pre-Split Panic or Strategic Rebirth?

Summary
• Bit Origin (BTOG) plunges 39.14% intraday to $0.1191 amid a 1-for-60 reverse stock split announcement
• Intraday range spans $0.1129 to $0.198, a 43% swing
• 52-week high of $1.01 now 83% above current price, signaling extreme volatility

Bit Origin’s stock has imploded on January 15, 2026, with a 39.14% intraday drop to $0.1191 as the market digests its impending reverse stock split. The move, aimed at complying with Nasdaq’s minimum bid price rule, has triggered a liquidity crisis. With the stock trading near its 52-week low and a dynamic PE of -1.63, the company’s survival hinges on the split’s success. Traders are now scrutinizing technicals and sector dynamics to gauge the next move.

Reverse Split Fears Trigger Pre-Effective Panic
Bit Origin’s 39% intraday collapse stems from investor anxiety over its 1-for-60 reverse stock split, set to take effect on January 20. The split reduces outstanding shares from 88.6 million to 1.5 million for Class A shares, a drastic contraction that signals desperation to avoid delisting. The company’s current price of $0.1191 is already below Nasdaq’s $0.15 minimum bid requirement, raising doubts about the split’s efficacy. Short-term technicals, including a negative MACD (-0.017) and RSI hovering near 50, confirm bearish momentum. The move reflects a lack of confidence in the company’s ability to sustain value post-split.

Navigating the Pre-Split Volatility: ETFs and Options Playbook
• MACD: -0.0171 (bearish divergence)
• RSI: 50.32 (neutral but trending lower)
• Bollinger Bands: Price at $0.1191 near lower band ($0.1643), indicating oversold conditions
• 30D MA: $0.2154 (price 49% below)
• 200D MA: $0.2914 (price 59% below)
• Support/Resistance: 30D support at $0.1936–$0.1957; 200D support at $0.1594–$0.1726

Bit Origin’s technicals paint a grim picture. The stock is trading far below both 30D and 200D moving averages, with RSI and MACD confirming bearish momentum. Key support levels at $0.1594 and $0.1936 are critical for short-term stability. Given the absence of listed options, traders should focus on ETFs tied to blockchain exposure, though none are currently available. A breakdown below $0.1129 (intraday low) would likely trigger a liquidity spiral.

Backtest Bit Origin Stock Performance
The Backtest of the performance of BTOG after a -39% intraday plunge from 2022 to now shows mixed results. While the 3-Day, 10-Day, and 30-Day win rates are relatively high at 43.75%, 40.63%, and 45.90% respectively, the maximum return during the backtest period is only 1.96%, indicating that the strategy has struggled to generate significant gains in the aftermath of the intraday plunge.

BTOG's Crossroads: Split or Delisting?
Bit Origin’s 39% plunge underscores the precariousness of its Nasdaq listing. The reverse split, while a procedural fix, does not address underlying liquidity and revenue challenges. Investors must monitor whether the split stabilizes the stock above $0.15 or accelerates its descent. Meanwhile, sector leader IBM (IBM) fell 1.85% today, reflecting broader market jitters. For BTOG, the next 48 hours will test its ability to regain institutional interest. A sustained close above $0.15 post-split could buy time, but failure to do so may force a delisting battle. Watch for a breakdown below $0.1129 or regulatory reaction.