Argo Blockchain (LON: ARB) share price has broken below a very key level on its chart. The latest analysis reveals that the stock of the BTC miner may tank a lot if bulls don’t step in soon. Argo Blockchain stock has been in a downtrend since hitting its yearly peak of 21p in February 2023.
Cryptocurrencies are depicting a sideways price action on Monday. Bitcoin, the biggest cryptocurrency by market cap, kept on fondling with the key level of $26,500. Argo Blockchain shares were up 12% till press time. This surge can be attributed to a bounce in BTC price.
Argo Blockchain Monthly Revenue Surges 14%
According to the most recent Argo Blockchain news, the company mined a total of 173 Bitcoin in May 2023. This amounted to total revenue of $4.75 million, 14% higher than the prior month. The company is also planning to upgrade its mining equipment at its Quebec facility.
The pre-tax loss of Q1 2023 is one of the primary reasons behind the bearish Argo Blockchain share price action. As per the reports, the lower revenue and mining margins and a reduction in foreign exchange gains contributed to this quarterly loss.
Argo Blockchain Share Price Break Downwards
The following LON: ARB chart shows that the ARGO stock has formed a descending wedge pattern on the daily timeframe. After weeks of sideways price action, the price has finally broken below the pattern. As discussed in my previous analysis, the target of this breakdown lies at 2p.
For Argo Blockchain share price forecast to avoid this bearish outlook, the stock needs to reclaim its 8.5p support. If it fails to do so, then a retest of the 2p level will be on the cards, which lies 68% below the current price. BTC price will also affect the price action of the mining stock.
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