CoinInsight360.com logo CoinInsight360.com logo
A company that is changing the way the world mines bitcoin

WallStreet Forex Robot 3.0
Finbold 2025-03-10 14:44:59

Bitcoin has to fall this low for Michael Saylor’s Strategy to lose money

Strategy (NASDAQ: MSTR ) – formerly known as MicroStrategy – has been suffering from a period of stock market decline in recent trading. Specifically, MSTR shares experienced a 5.57% drop on Friday, March 7, to their latest closing price of $287.18, and an equally sharp collapse of 5.46% in the extended session, leading to the Monday pre-market value of $271.50. MSTR stock 1-day and Monday pre-market price chart. Source: Google With Michael Saylor’s company facilitating investor exposure to Bitcoin ( BTC ) via vicarious ownership, it should come as no surprise that BTC’s own decline from $86,773 on Friday to $83,126 at press time has been one of the main reasons behind the stock price drop. How safe is Strategy from a Bitcoin unrealized loss Still, despite Strategy making numerous headlines in recent months thanks to its buying of a vast quantity of Bitcoin near the cryptocurrency’s all-time high (ATH), shareholders do not yet have to fear that the company would face losses due to the coin’s price decline. Indeed, Michael Saylor’s firm has, essentially, been dollar-cost-averaging ( DCA ) into its vast BTC treasury and, though there is some variance between sources, has significant room before taking an unrealized loss on its digital assets. Strategy’s average Bitcoin purchase price is estimated as within the $62,473 – per BiTBO – and $66,357 – per Lookonchain. Given that BTC is changing hands at $83,126 at press time, an unrealized loss remains relatively distant for Strategy despite the $9,585 weekly drop, hinting that a risk does exist. BTC one-week price chart. Source: Finbold Why Bitcoin price is falling Bitcoin’s drop – a key driver behind MSTR’s stock price fall – can be linked to several external factors. Cryptocurrencies have been relatively reactive to macroeconomic news. President Donald Trump’s escalating and ever-shifting trade war has, so far, generated multiple bloodbaths. Furthermore, the selloff in the stock market appears to have reinforced the decline of digital assets. Simultaneously, despite being anticipated to be a bullish catalyst, the issue of a strategic Bitcoin – or crypto more broadly – reserve has only deepened the downturn. After making promises that led the community to hope a reserve would be established in the first weeks of the administration, President Trump issued little more than additional vague promises. The latest of these has seemingly been particularly damaging as, despite the decisive wording, a lack of an actual buying mechanism means that the U.S. is no closer to stockpiling cryptocurrencies than when Trump was on the campaign trail. Simultaneously, the matter of the reserve may have amplified MSTR stock’s drop. The firm’s equity has been susceptible to alternative ways for people to gain exposure to the cryptocurrency market and the approval of the spot BTC exchange-traded funds ( ETFs ) in January 2024 also triggered a selloff . Featured image via Shutterstock The post Bitcoin has to fall this low for Michael Saylor’s Strategy to lose money appeared first on Finbold .

Leggi la dichiarazione di non responsabilità : Tutti i contenuti forniti nel nostro sito Web, i siti con collegamento ipertestuale, le applicazioni associate, i forum, i blog, gli account dei social media e altre piattaforme ("Sito") sono solo per le vostre informazioni generali, procurati da fonti di terze parti. Non rilasciamo alcuna garanzia di alcun tipo in relazione al nostro contenuto, incluso ma non limitato a accuratezza e aggiornamento. Nessuna parte del contenuto che forniamo costituisce consulenza finanziaria, consulenza legale o qualsiasi altra forma di consulenza intesa per la vostra specifica dipendenza per qualsiasi scopo. Qualsiasi uso o affidamento sui nostri contenuti è esclusivamente a proprio rischio e discrezione. Devi condurre la tua ricerca, rivedere, analizzare e verificare i nostri contenuti prima di fare affidamento su di essi. Il trading è un'attività altamente rischiosa che può portare a perdite importanti, pertanto si prega di consultare il proprio consulente finanziario prima di prendere qualsiasi decisione. Nessun contenuto sul nostro sito è pensato per essere una sollecitazione o un'offerta