Soluna Holdings (SLNH) Shares Soar 53.76% on $100M Credit, NYDIG Settlement

Shares of Soluna Holdings (SLNH) surged 53.76% on Tuesday, marking a two-day rally that lifted the stock by 89.82% in cumulative gains. The price reached its highest level since October 2025, with an intraday jump of 56.63%, driven by renewed investor confidence in the renewable energy and computing company’s strategic initiatives.

The recent momentum followed the announcement of a $100 million credit facility secured from Generate Capital in September 2025. This financing, including an initial $12.6 million draw to advance Texas-based Project Dorothy 2, provided critical liquidity for expansion while reducing refinancing risks. The deal underscored external validation of Soluna’s green data center model, which leverages renewable energy to power high-performance computing applications.

A significant legal hurdle was also resolved in late September, as Soluna settled its long-standing dispute with NYDIG, a former financing partner. The resolution eliminated a key operational uncertainty, allowing the company to redirect focus toward scaling its Bitcoin mining and AI hosting partnerships. CEO John Belizaire emphasized the settlement as a catalyst for long-term value creation, particularly as the firm diversifies its client base.

Strategic collaborations with KULR Technology Group and Canaan Inc. further bolstered Soluna’s growth narrative. A 3.3 MW Bitcoin mining deployment with KULR, a company holding Bitcoin as a treasury asset, marked Soluna’s first deal with a “Bitcoin treasury” client. Meanwhile, a 20 MW agreement with Canaan to install next-generation miners at Project Dorothy 2 filled remaining capacity, positioning Soluna as a key infrastructure provider in the U.S. mining sector.

Operational progress accelerated with the near-completion of Project Dorothy 2, a 48 MW wind-powered data center in Texas. The site, expected to push Soluna’s total hash rate above 4 exahash per second, demonstrated the company’s ability to execute large-scale projects. Additionally, the launch of Project Kati—a 166 MW computing campus—highlighted Soluna’s ambition to serve both Bitcoin miners and AI workloads, with initial funding secured from Spring Lane Capital.

Market sentiment improved as Soluna regained Nasdaq compliance following its stock’s surge from under $0.50 to over $2.79 in late September. However, analysts remain cautious, citing ongoing losses, dilution risks from equity offerings, and dependence on crypto market cycles. Short interest has declined, reflecting growing confidence, though the stock’s volatility persists amid broader sector trends.