Ethereum News Today: Lixte Stock Falls 16% After Bitcoin Treasury Plan Amid Ethereum Strategy Gains

Generated by AI AgentCoin World
Wednesday, Aug 13, 2025 8:03 pm ET2min read
Aime RobotAime Summary

- Lixte Biotech's Bitcoin treasury plan caused a 16% stock plunge, contrasting with Ethereum-focused firms like ETHZilla, which saw 300% gains.

- Ethereum treasuries now hold 3% of circulating supply, driven by institutional adoption and regulatory developments under SEC's Project Crypto.

- Analysts highlight Ethereum's 58% monthly surge and $7,500 price target, outpacing Bitcoin's flat 2% gains as corporate crypto strategies shift toward ETH-based diversification.

Lixte Biotechnology’s stock plunged nearly 16% on July 14, 2025, after the clinical-stage pharmaceutical company revealed its plan to allocate up to 25% of its cash reserves to a

treasury. The move sent shockwaves through the biotech sector, with investors raising concerns about the company’s strategic focus and the potential distraction from its mission [1]. The announcement came as Bitcoin hit a record high on the same day, yet the market’s reaction to Lixte’s plan was sharply negative, reflecting skepticism about the long-term value of a biotech company diverting capital into crypto assets [1].

In contrast, Ethereum-based treasury strategies have drawn strong investor enthusiasm. Companies like

Sciences, which rebranded as ETHZilla, have seen their stock prices surge after pivoting toward . The company’s shares jumped over 300% since the initial announcement of its Ethereum treasury initiative, with ETHZilla disclosing that it now holds 82,186 ETH, valued at approximately $349 million. This strategy has positioned the firm as a standout in a market increasingly drawn to crypto-backed treasuries [2][3].

The momentum behind Ethereum has extended to broader market dynamics. Ethereum treasury firms, including ETHZilla,

, and , have seen their shares rise significantly over the past five trading days. ETHZilla’s stock rose 211%, BitMine Immersion increased by 48%, and SharpLink Gaming gained 8%, while Bitcoin-focused firms have struggled to match the performance [1]. BitMine Immersion, for example, recently announced a $20 billion Ethereum purchase plan, further amplifying the token’s appeal as a corporate reserve asset [5].

Market analysts have noted a clear shift in investor sentiment. According to Bitwise Research Analyst Danny Nelson, 2025 is emerging as the year of Ethereum treasury strategies due to the asset’s “momentum” and growing institutional interest. He highlighted Ethereum’s unique positioning in the stablecoin boom and its potential to benefit from regulatory developments under SEC Chair Gary Gensler’s Project Crypto initiative [1]. Ethereum has surged 58% in the past month and 75% over the last year, reaching $4,763, with its price remaining just 3% below its all-time high [1].

The growing trend of Ethereum treasury strategies is also reflected in the token’s market share. Ethereum treasuries now hold nearly 3% of the total circulating supply, and this figure is expected to rise further as companies continue to reinvest in the asset [1]. Standard Chartered has raised its price target for Ethereum to $7,500 by the end of 2025, citing increased institutional adoption and evolving use cases [4].

Meanwhile, Bitcoin’s recent performance has been relatively flat, up just 2% in the past month. Although the asset reached a new peak on July 14, its gains have paled in comparison to Ethereum’s rapid ascent. This divergence has led to speculation that investors are increasingly favoring Ethereum over Bitcoin for its perceived growth potential and flexibility in treasury management [1].

The contrasting market reactions to Lixte and ETHZilla underscore the growing influence of crypto strategies in corporate finance, particularly within the biotech sector. While Ethereum-based initiatives have proven to be a draw for investors, Bitcoin-focused approaches have yet to gain the same traction. This trend highlights the market’s sensitivity to crypto diversification and the risks associated with shifting corporate priorities [1].

Sources:

[1] title: Biotech Stock Plunges on Bitcoin Plans as Ethereum Treasuries Stay Hot, url: https://decrypt.co/335127/biotech-stock-plunges-bitcoin-plans-ethereum-treasuries-stay-hot

[2] title: This Small-Cap Life Sciences Stock More Than Tripled, url: https://stocktwits.com/news-articles/markets/equity/this-small-cap-life-sciences-stock-tripled-ethereum-pivot-peter-thiel/chrzw6JRdJw

[3] title: 180 Life Sciences (ETHZilla) Holds 82186 ETH, url: https://www.abc27.com/business/press-releases/cision/20250812NY49546/180-life-sciences-ethzilla-holds-82186-eth

[4] title: Standard Chartered's Ethereum Price Prediction Soars to..., url: https://www.tipranks.com/news/standard-chartereds-ethereum-price-prediction-soars-to-7500

[5] title: Crypto Currents: BitMine's $20B ETH buy plan fuels rally, url: https://www.tipranks.com/news/the-fly/crypto-currents-bitmines-20b-eth-buy-plan-fuels-rally-thefly

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