IPO BitGo drops 12% during Friday trading hours, disappointing debut on the NYSE stock exchange

BitGo (BTGO) shares experienced a significant correction on Friday, the second trading day since the company’s crypto custodian debut on the New York Stock Exchange. At midday, the stock was trading at $16.53, reflecting a 12% decline from the opening price of $18 per share. BitGo’s $2 billion IPO marked the first stock offering in the crypto industry in 2026, ending a streak of sector successes the previous year.

Stock Market Debut: First IPO of 2026

BitGo officially listed on the New York Stock Exchange (NYSE) on Thursday with an IPO price of $18 per share. This historic moment marked the first new crypto listing in 2026, following a busy 2025 filled with offerings from stablecoin issuer Circle, digital asset platform Bullish, and crypto exchange Gemini. As a provider of custody and security services for digital assets, BitGo has become an important institutional player to watch on Wall Street.

In the early trading hours, BitGo’s shares even reached a peak of $24, demonstrating initial investor enthusiasm for the IPO. However, this positive momentum did not sustain into Friday’s trading session.

Friday Trading Hours Drop Tests Investor Confidence

During Friday’s trading hours on the stock exchange, BitGo faced significant selling pressure. By midday, the stock price had fallen to $16.53, 8% below the initial IPO price. This movement indicates that investors are beginning to reassess the company’s valuation of $2 billion in a more realistic market environment.

BitGo’s decline during Friday’s trading hours contrasts with the performance of several other crypto stocks that are beginning to recover. After a difficult week when Bitcoin dropped from the $95,000 level, the crypto market showed signs of stabilization. Galaxy Digital (GLXY) rose 3%, Riot Platforms (RIOT) also increased by a similar amount, MicroStrategy (MSTR) up 2%, and Hut 8 (HUT) recorded a 7% gain. However, BitGo remains an exception with its negative performance.

Context of Volatility in the Crypto Market

Recent market data shows Bitcoin is currently trading at $88.12K, indicating the crypto market remains under pressure despite efforts to recover from last week’s lows. The volatility observed during Friday’s trading hours for BitGo can be seen as part of a broader correction process in the crypto sector.

This first IPO on the stock exchange in 2026 presents a challenge for BitGo to prove its business value to more skeptical institutional investors compared to retail investors who typically participate in pure crypto markets. The decline during Friday’s trading hours suggests Wall Street still needs tangible performance evidence before assigning a premium valuation to players in the crypto custody industry.