CleanSpark, Inc. (CLSK) experienced a significant pre-market plunge of 5.72% on Monday, as the cryptocurrency-related stock fell victim to a broader selloff in the crypto sector. The decline was triggered by investors locking in profits just days after President Donald Trump signed a highly anticipated executive order aimed at regulating the digital asset industry.
While Trump's executive order identified the crypto industry as a critical driver of US innovation, it fell short of confirming the establishment of a Bitcoin reserve, a move the President had vowed to pursue during his campaign. Instead, the order called for the creation of a working group to propose a regulatory framework for digital assets within six months and evaluate the creation of a crypto stockpile.
The perceived disappointment over the lack of a firm commitment to a Bitcoin reserve sparked a selloff in the crypto markets, with Bitcoin itself sliding as much as 4.90% to below $100,000 on Monday. Smaller tokens like Solana and Cardano, which had rallied since Trump's election victory, experienced even steeper declines of more than 5%.
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