FinancialfocusHub.com
  • Home
  • Crude Oil
  • Cryptocurrency
  • Forex
  • Funds
  • Gold
  • Insurance
  • News
  • Stocks
No Result
View All Result
  • Home
  • Crude Oil
  • Cryptocurrency
  • Forex
  • Funds
  • Gold
  • Insurance
  • News
  • Stocks
No Result
View All Result
FinancialfocusHub.com
No Result
View All Result
ADVERTISEMENT

Strategy Stock Drops Nearly 50% Amid Crypto Slump

Alice by Alice
2025-03-11
in News, Cryptocurrency
Cryptocurrency

Cryptocurrency

ADVERTISEMENT

Shares of MicroStrategy, the company led by Michael Saylor, have lost nearly half of their value, reflecting growing concerns about economic challenges and a retreat from cryptocurrency investments. This marks a sharp downturn for the stock, which had seen significant growth following Donald Trump’s election win.

The Fall of MicroStrategy’s Stock

On Monday, MicroStrategy’s stock dropped by 17%, closing at $239.27. This decline follows a dramatic fall of 49.5% from its all-time high of $473.83 in November.

ADVERTISEMENT

MicroStrategy, which has become a prominent player in the cryptocurrency world due to Saylor’s aggressive Bitcoin investment strategy, has seen its stock price surge alongside Bitcoin’s rise. The company had planned to raise $42 billion in the coming years through borrowing and stock sales to fund further Bitcoin purchases.

ADVERTISEMENT

Crypto Boom and Bust

The firm’s stock had been outperforming Bitcoin for a time, fueled by speculation that Trump’s administration would create a Bitcoin reserve. However, as Bitcoin has recently struggled and given up many of its earlier gains, MicroStrategy’s stock has mirrored the losses, sinking at a faster pace.

ADVERTISEMENT

The mood has worsened, especially after the Trump administration clarified last week that the planned Bitcoin reserve would only consist of tokens already owned by the government, with no new purchases authorized under “budget-neutral strategies.”

Broader Market Concerns Impact Crypto

On Monday, Bitcoin fell by around 4%, trading at approximately $80,000. This decline is part of a broader market retreat from risk assets as investors become increasingly concerned about threats to economic growth, particularly regarding Trump’s ongoing trade standoff with Canada, Mexico, and China.

Steve Sosnick, chief strategist at Interactive Brokers, highlighted that the broader risk environment is not favorable for Bitcoin. As a highly leveraged proxy for the cryptocurrency, MicroStrategy is facing its own set of challenges as a result.

Wall Street’s Mixed Outlook

Despite Monday’s sharp drop, MicroStrategy’s stock is still slightly higher than its price on Election Day. Wall Street analysts remain optimistic, with a unanimous “buy” rating from all 11 analysts in a Bloomberg survey. The average price target for the stock is well above last year’s peak, sitting at $540.

However, even before the recent rout, the stock had already lost 28% since the close on January 17, the day before Trump’s inauguration.

Broader Crypto Stocks Struggling

MicroStrategy is not alone in facing significant setbacks. Other cryptocurrency-linked stocks, including Coinbase Global Inc., Galaxy Digital Holdings Ltd., and crypto miners like Riot Platforms Inc., have also experienced declines. From January 17 through Friday, Coinbase’s stock dropped by 26%.

As the crypto market faces increasing volatility, these companies will likely continue to face challenges, with investors taking a more cautious approach to crypto-related stocks.

Related topics:

  • How Many Stocks Are in the Dow Jones?
  • Why Telecom Stocks Are Down
  • What Is the Power Hour in Stocks?
ADVERTISEMENT
Previous Post

Citi Downgrades US Stocks, Upgrades China Amid Economic Shifts

Next Post

Crypto Day-Traders Face Challenges Amid Trump’s Policies and Market Volatility

Alice

Alice

Related Posts

Policy Interpretation | Seven Departments Unveil Comprehensive Measures to Accelerate Sci-Tech Finance System Development
News

Policy Interpretation | Seven Departments Unveil Comprehensive Measures to Accelerate Sci-Tech Finance System Development

2025-05-15
China Expands “Swap Connect” with 30-Year Swaps and LPR Products to Deepen Financial Market Opening
News

China Expands “Swap Connect” with 30-Year Swaps and LPR Products to Deepen Financial Market Opening

2025-05-15
Gold Drops 2% to Below $3200 an Ounce
Gold

Gold Drops 2% to Below $3200 an Ounce

2025-05-15
Small AI Firm Bets $300 Million On Bitcoin And Trumpcoin
News

Small AI Firm Bets $300 Million On Bitcoin And Trumpcoin

2025-05-15
Tariffs Cause ‘lost Year’ For Housing Market, Economist Says
News

Tariffs Cause ‘lost Year’ For Housing Market, Economist Says

2025-05-15
China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces
News

China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces

2025-05-14
RMB Strengthens as China-U.S. Trade Tensions Ease
News

RMB Strengthens as China-U.S. Trade Tensions Ease

2025-05-14
China Launches 2025 SME Financial Support Initiative
News

China Launches 2025 SME Financial Support Initiative

2025-05-14
Building a World-Class Treasury System: China’s Path to Financial Resource Integration
News

Building a World-Class Treasury System: China’s Path to Financial Resource Integration

2025-05-14
Next Post
Cryptocurrency3

Crypto Day-Traders Face Challenges Amid Trump’s Policies and Market Volatility

Insurance4

How to Add Gap Insurance to Progressive?

Insurance

How to File a Business Insurance Claim?

Popular Articles

Sterling Rises Before Uk Growth Data
Forex

Sterling Rises Before Uk Growth Data

by jingji05
2025-05-15

The British pound advanced in European trading Thursday, recovering from a mid-week dip as investors positioned themselves ahead of crucial...

Universal Life Insurance vs. Whole Life Insurance: What’s The Difference?

Universal Life Insurance vs. Whole Life Insurance: What’s The Difference?

2025-05-10
What Is The Base Currency In EUR/USD And What Does It Do?

What Is The Base Currency In EUR/USD And What Does It Do?

2025-05-14
How Much Is 1 Pip In Forex?

How To Convert Gbp To Usd In Paypal: A Step-By-Step Guide

2025-05-13
5 Key Considerations When Buying Stocks

5 Key Considerations When Buying Stocks

2025-05-11
Sterling Sharpens Losses to Three-Week Trough on Interest Rate Gap

Sterling Sharpens Losses to Three-Week Trough on Interest Rate Gap

2025-05-11
Aussie Shines After Strong Labor Data

Aussie Shines After Strong Labor Data

2025-05-16
Trump’s 1977 Tariff Law And The Court Battle That Stopped Him

Trump’s 1977 Tariff Law And The Court Battle That Stopped Him

2025-05-13

Recent Posts

Aussie Shines After Strong Labor Data
Forex

Aussie Shines After Strong Labor Data

by jingji05
2025-05-16

The Australian dollar climbed during Asian trading on Thursday, building momentum against the US dollar as stronger-than-expected employment figures reduced...

Policy Interpretation | Seven Departments Unveil Comprehensive Measures to Accelerate Sci-Tech Finance System Development

Policy Interpretation | Seven Departments Unveil Comprehensive Measures to Accelerate Sci-Tech Finance System Development

2025-05-15
Nationwide Crackdown on Insurance Fraud Nets 1.5 Billion Yuan in Major Cases

Nationwide Crackdown on Insurance Fraud Nets 1.5 Billion Yuan in Major Cases

2025-05-15
China Expands “Swap Connect” with 30-Year Swaps and LPR Products to Deepen Financial Market Opening

China Expands “Swap Connect” with 30-Year Swaps and LPR Products to Deepen Financial Market Opening

2025-05-15
China Establishes National Standards for Elderly-Friendly Insurance Services

China Establishes National Standards for Elderly-Friendly Insurance Services

2025-05-15
How Long Does an Accident Stay on Your Insurance in California?

How Long Does an Accident Stay on Your Insurance in California?

2025-05-15
How Long Do You Have to Get Insurance After Buying a Used Car in California?

How Long Do You Have to Get Insurance After Buying a Used Car in California?

2025-05-15
How Long Do You Have to Report an Accident to Insurance in California?

How Long Do You Have to Report an Accident to Insurance in California?

2025-05-15

Cryptocurrency

Cryptocurrency27

NFT Marketplace X2Y2 to Shut Down After Three Years as Trading Volume Plummets

2025-04-04
Cryptocurrency

Elon Musk Denies U.S. Government Plans to Use Dogecoin, Cryptocurrency Drops 3%

2025-04-01
Cryptocurrency

Gold Bull Peter Schiff Bets on Bullish Gold Amid Bitcoin’s Struggles

2025-03-30
Cryptocurrency

Fidelity Plans to Launch Spot Solana ETF

2025-03-29
Cryptocurrency

BlackRock Launches Bitcoin ETP in Europe: A Key Step for Institutional Adoption

2025-03-28
Cryptocurrency

Closing Bell Movers: GameStop Gains 7% on Earnings, Bitcoin Announcement

2025-03-27
FinancialfocusHub.com

FinancialFocusHub.com is your gateway to insightful financial guidance and strategies. Explore expert advice on investing, saving, and managing wealth. Stay informed with the latest trends and tools to empower your financial journey.

Recent Posts

  • Aussie Shines After Strong Labor Data 2025-05-16
  • Policy Interpretation | Seven Departments Unveil Comprehensive Measures to Accelerate Sci-Tech Finance System Development 2025-05-15
  • Nationwide Crackdown on Insurance Fraud Nets 1.5 Billion Yuan in Major Cases 2025-05-15
  • China Expands “Swap Connect” with 30-Year Swaps and LPR Products to Deepen Financial Market Opening 2025-05-15
  • China Establishes National Standards for Elderly-Friendly Insurance Services 2025-05-15

TAGS

Useful Links

ABOUT US

Disclaimer

Privacy Policy

Copyright © 2024 financialfocushub.com

No Result
View All Result
  • Home
  • Forex
  • Insurance
  • News
  • Stocks

Copyright © 2024 FinancialFocusHub.com is your gateway to insightful financial guidance and strategies. Explore expert advice on investing, saving, and managing wealth. Stay informed with the latest trends and tools to empower your financial journey.