GameStop Stock Drops Nearly 6% Amid Investor Sell-Off Following Bitcoin Buy Announcement

GameStop (GME) shares slid close to 6% on Thursday as investors took profits after the company disclosed its first-ever bitcoin purchase.

On Wednesday morning, GameStop announced it had acquired 4,710 bitcoins, a move aligned with its crypto treasury plan revealed earlier this year. Back in March, the company raised $1.3 billion specifically to support such crypto acquisitions.

Despite the buildup, the bitcoin buy—estimated at around $500 million—was considered relatively modest given GameStop’s substantial cash reserves and overall $14 billion market cap. The exact timing and prices of the bitcoin purchases remain undisclosed.

Prior to the announcement, GameStop shares surged more than 60%, recovering from a mid-May market sell-off triggered by tariff-related concerns. However, since the bitcoin reveal, the stock has dropped nearly 20% from those recent highs.

Market watchers suggest the decline may reflect a typical “buy the rumor, sell the news” reaction, or possibly skepticism toward the influx of corporate bitcoin treasury strategies that have emerged recently.