CleanSpark (CLSK) Slashes 15% on Bitcoin Fall

We recently published 10 Stocks Facing Selling Pressure Ahead of Christmas. CleanSpark, Inc. (NASDAQ:CLSK) is one of the biggest losers on Monday.

CleanSpark fell for a second day on Monday, shedding 15.07 percent to close at $11.91 apiece as investor sentiment was dampened by the drop in Bitcoin prices and fresh concerns about the artificial intelligence industry.

CleanSpark, Inc. (NASDAQ:CLSK) declined alongside its counterparts, namely Terawulf, Hut 8, and Cipher Mining, after Bitcoin fell below the $90,000 level on Monday from profit-taking ahead of the Christmas holiday.

Additionally, concerns lingered anew about the AI bubble, fueled by heavy investments in AI, with Oracle Corp. alone raking in $108 billion in debt to fund the sector.

The scale of borrowing worried investors about how quickly the technology giants, which have shelled out billions of dollars in artificial intelligence, would be able to earn their profits from the sector.

In other developments, CleanSpark, Inc. (NASDAQ:CLSK) announced earlier this month that it was able to produce 587 Bitcoins for the month of November, lower by 4 percent than the $612 Bitcoins in October this year.

The company said average daily Bitcoin production stood at 19.54, slower by 1 percent than the 19.75 average the month prior.

While we acknowledge the potential of CLSK as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.