TeraWulf Stock Dives As Bitcoin Slide Overshadows New Data Center Deal: Retail Defiant

Shares of TeraWulf Inc. plunged by over 13% in morning trade on Monday despite announcing a new data center deal as Bitcoin’s price slipped below the $95,000 mark.

At last check, Bitcoin’s price dropped over 2% in the last 24 hours, trading at $93,330.

Despite TeraWulf’s new deal to deliver more than 70 megawatts (MW) of data center infrastructure to Core42, a subsidiary of artificial intelligence and cloud computing giant G42, the announcement failed to cushion the impact of Bitcoin’s decline on the stock.

The data center infrastructure, scheduled for deployment between Q1 and Q3 of 2025, will feature Dell Integrated Rack Scalable Solutions with advanced liquid-cooled GPU servers. 

The agreement also includes two five-year renewal options and provisions to expand hosting capacity by an additional 135 MW gross (108 MW for critical IT load).

This strategic move also marks TeraWulf's expansion into AI-driven computing while maintaining its Bitcoin mining operations, which focus on utilizing zero-carbon energy sources.

TeraWulf Sentiment and Message Volume on Dec 23 as of 11:20 a.m. ET | Source: Stocktwits

On Stocktwits, retail sentiment around the stock flipped to ‘bullish’ from ‘bearish’ a day ago as message volumes increased to ‘high’ from ‘low’ levels as users criticized the timing of the company’s announcement.

Others in the Stocktwits community appreciated the potential long term revenue from the new deal.

Despite Monday's plunge, TeraWulf’s stock is up 148% year-to-date, outpacing Bitcoin’s 115% gains.

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