Bit Digital(BTBT) Shares Soar 11.97% on Ethereum Staking Pivot

Bit Digital(BTBT) shares surged to their highest level since December 2024 today, with an intraday gain of 11.97%.

The strategy of buying BTBT shares after they reach a recent high and holding for one week delivered strong returns over the past five years. The strategy achieved a 132.04% return, significantly outperforming the benchmark return of 58.03%. The excess return was 74.01%, indicating the strategy's ability to capitalize on the stock's price momentum. With a CAGR of 39.73% and a maximum drawdown of 0.00%, the strategy also showcased robust risk-adjusted returns and minimal downside risk, as reflected by a Sharpe ratio of 0.37 and a volatility of 106.63%.

Bit Digital's recent stock price movements have been significantly influenced by the company's strategic pivot towards Ethereum staking and cloud-based services. In July 2025, the firm's stock experienced notable volatility and a price increase following the announcement of the acquisition of nearly 20,000 Ethereum (ETH). This move aligns with Bit Digital's strategy to transition from bitcoin mining to focus on ETH assets and staking. The market has responded positively to Bit Digital's expansion of its Ethereum holdings and its plans to spin off the WhiteFiber subsidiary, which is expected to generate recurring revenue from Ethereum staking.

However, there are concerns about the execution risk of these strategic shifts, the volatility of the crypto market, and competition in the cloud services sector. Despite these challenges, analysts maintain a "Strong Buy" consensus, indicating optimism about Bit Digital's growth strategy. The company's focus on Ethereum staking and cloud services is seen as a forward-thinking move that could position it well in the evolving digital asset landscape.