The stock moved in tandem with Bitcoin, but at a faster rate, adding as much as 14.52% in value compared to Bitcoin's 3.78% increase. This is typical behavior for smaller digital assets in the crypto industry during rallies, as they often move in the same direction as Bitcoin but can be more volatile due to their smaller volumes and market capitalization.
The company rebranded to RIOT Platforms earlier this year to reflect its new business direction, which includes diversifying into other businesses while maintaining its status as a Bitcoin mining company. This diversification became necessary after the company suffered a significant loss in the past year, with its market capitalization dropping by 85%.
In an announcement, the company stated that its business operations remain Bitcoin-driven, but in an increasingly diversified manner. RIOT Platforms plans to add other related services that will boost its operations, and it is expected that its stocks will continue to follow the trend of Bitcoin.
The stock rally on Thursday was in response to the release of US consumer inflation figures, which showed a drop for the sixth consecutive month, with an annual increase of 6.5%. Analysts interpreted this as an opportunity for the Federal Reserve to slow down its interest rate hikes.