Abits Group Plunges 18%: What's Behind the Sudden Freefall?

Summary
• Abits Group (ABTS) slumps 18.11% to $7.46, its lowest intraday level at $7.00
• Intraday range spans $7.00 to $8.85, a 21% swing
• 52-week high of $14.09 now feels like a distant memory
• Sector leader IBM (IBM) dips 0.63%, hinting at broader IT Services sector fragility

Abits Group’s stock has imploded in a single trading session, erasing nearly a fifth of its value. The sharp decline follows a cascade of technical breakdowns and a lack of catalysts in the news flow. With the stock trading at a 52-week low and key support levels under siege, investors are scrambling to decipher the trigger—and whether this is a buying opportunity or a warning sign.

Financial Statement Corrections Trigger Sharp Sell-Off
The collapse in ABTS shares appears tied to the company’s announcement of corrections to its unaudited financial statements for the first half of 2025. While the firm cited operational expansion as a positive, the lack of clarity around the nature of the corrections has spooked investors. The absence of concrete guidance on revenue or earnings, combined with the stock’s already precarious position near its 52-week low, has amplified selling pressure. The move underscores investor skepticism about the company’s financial transparency and operational sustainability.

Technical Deterioration: Key Levels and ETF Implications
• RSI: 90.75 (overbought, but bearish divergence evident)
• MACD: 0.76 (bullish) vs. Signal Line 0.25 (bearish crossover imminent)
• Bollinger Bands: Upper at $7.36 (current price near this level), Middle at $4.48, Lower at $1.61
• 200-day MA: $2.74 (stock far above, but support likely broken)

ABTS is in a technical freefall, with RSI at overbought levels but price action diverging sharply. The stock has pierced the upper Bollinger Band and is now testing the 200-day moving average as resistance-turned-support. Short-term traders should monitor the $7.00 intraday low as a critical pivot; a break below this could accelerate the decline toward the $4.48 middle Bollinger Band. The lack of options liquidity means no direct hedging, but leveraged IT Services ETFs (if available) could mirror sector sentiment. For now, the focus remains on ABTS’s ability to stabilize above $7.00.

Backtest Abits Group Stock Performance
I attempted to retrieve intraday price data for “ABTS.O” from 2022-01-01 through today in order to identify every trading session in which the share price fell 18 % (or more) intraday. Unfortunately, the data source returned “No valid data” for this ticker, which usually means:• The symbol is not recognised by the provider (e.g., a different exchange suffix is required). • The stock is very thinly traded or newly listed and the vendor has no historical intraday data. • The company has been delisted or trades only over-the-counter with limited coverage.Before we proceed, could you please confirm one of the following?1. The exact ticker / exchange code you want analysed (e.g., “ABTS”, “ABTS.L”, “ABTS.PK”, etc.). 2. If you have your own list of dates when the –18 % intraday drops occurred, you can supply those manually and I can run the performance test right away.Once I have a valid data source or explicit event dates, I can finish the back-test and show you the results.

Act Now: ABTS at Crossroads—Volatility or Value?
The 18% plunge has pushed ABTS to its 52-week low, with technical indicators flashing mixed signals. While RSI suggests overbought conditions, the price action tells a bearish story. Investors must weigh the risk of further deterioration against potential value traps. The IT Services sector leader IBM’s 0.63% decline adds caution. For ABTS, the immediate priority is whether the stock can hold above $7.00. A breakdown here would likely trigger a test of the $4.48 middle Bollinger Band. Aggressive traders may consider shorting into a bounce, but the absence of options liquidity complicates positioning. Watch for a catalyst—positive or negative—to emerge in the coming days.