
MicroStrategy’s Stock at Risk? 10x Research Predicts 40% Crash Due to Bitcoin Strategy!
Bitcoin is in a precarious position, and the implications for MicroStrategy’s stock are concerning. According to 10X Research, the company’s strategy may lead to a significant decline in its shares.
As Bitcoin continues to struggle, it has lost nearly 30% of its value since November. Furthermore, the recent downward trend has led investors to reevaluate their exposure to the cryptocurrency market and potentially reassess their confidence in MicroStrategy’s stock.
Historically, when the premium over net asset value (NAV) for a strategy is significantly reduced, there can be devastating consequences for the company’s stock price. In the case of Bitcoin-focused MicroStrategy, this premium has plummeted from an astonishing 3.4x to just 1.6x since its peak. This downward trend suggests that investors are losing faith in the company’s ability to generate profits.
In a worst-case scenario, if Bitcoin fails to regain momentum and instead falls below a critical level of $156 per share (its average purchase price), it could trigger catastrophic consequences for MicroStrategy’s stock.