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MSTR

MSTR Ponzi is paying for my yearly steak & lobster subscriptionWe can see that from the white Centerline, MSTR has only been heading south. In contrast, Bitcoin has held up quite a bit better so far. If you go back through my posts, you’ll see that I’ve been warning for a long time that MSTR is basically feeding itself. That simply can’t end well! Either way – we gratefully take our profit and wait until we reach the lower centerline. Because we know there’s about an 80% chance that the price will fall back into temporary equilibrium, the Centerline And if you’re not too greedy, well then you take 70%–80% of the profits now and let the rest run. Anyone who was able to learn something from this trade or even make profits is welcome to boost and comment. §8-) YT video will be available tomorrow. ...and on we go.
NASDAQ:MSTRShort
by Tr8dingN3rd
Buy the F out of MSTR? - Bullish IdeaI’m watching MicroStrategy (MSTR) closely here — the chart is setting up for what looks like a strong bullish opportunity. (the content below is documenting the chart from left to right) 🔎 Key Observations Demand Zone: Back in August 2024, price reacted strongly from the $225 zone, rallying ~100%. Clear evidence of institutional demand. Current Structure: Price has been ranging between $225 – $550. The midpoint zone (~$325–$375) is where the most important reactions are likely to form. Volume Zones: Zone A → Already tested. Zone B → Untested, showing potential bullish reaction. Zone C → Looks bearish on the surface, but could be a manipulation zone (push down to fill institutional orders). Liquidity Sweep: The purple zone shows price ran weekly highs, reversed, then closed back above — a classic liquidity grab, suggesting institutions may defend this area. 🧩 Market Structure & Pattern Structure shows a bullish impulse with a crab pattern forming. Completion expected around 50–61.8% retracement, possibly as deep as 78.6%. Buy zone of interest: $325. 🎯 Trade Plan Entry Zone: $325 area. Targets: First resistance: $375–$400 (must clear here). Final target: $550. Bias: Bullish, holding for continuation higher as long as $225 remains protected. ✅ To summarize: I’m bullish on MicroStrategy here. Watching for a buy reaction around $325 with a target of $550. Price will need to prove itself through the $375–$400 zone before continuation.
NASDAQ:MSTRLong
by elevatedinvestor
MSTR: A Giant with Feet of ClayExactly two weeks ago, I wrote an article with a rhetorical question: “Why should you buy Strategy if you want exposure to BTC?” and argued that MSTR could fall—and fall hard. Two days ago, BTC printed a new ATH. That move was visible in MSTR as well; however, we’ve got a lower high and a new fail for the stock. Even more, this fail has formed the right shoulder of an H&S pattern. On the weekly chart, there’s a strong bearish engulfing that ended exactly at the neckline of the pattern. This type of price action is far from bullish, regardless of what one may want to dream of. BTC is above confluence support. If it breaks this level, Strategy will fall even harder. In my last post, out of 12 comments, 5 were hate comments—because “how can I say such enormities, that Strategy could fall.” The answer is simple: the chart doesn’t look good at all. Even if BTC reverses from this support, in my opinion the reflection in MSTR will be minimal. And anyway, I trade what I see, not what Saylor sells me. That being said, a drop of BTC under confluence support will most probably lead to a break below the neckline for Strategy. And if BTC delivers a meaningful correction, Strategy will fall like a giant with feet of clay that it is.
NASDAQ:MSTRShort
by Mihai_Iacob
1
The Grayscale Ethereum Trust at Risk of Exacerbated DeclineETPs such as Grayscale's ETHE here utilizes APs (Authorized Participants) which are essentially broker dealers and large financial institutions such as banks, hedge funds and other investment firms to maintain liquidity of the Exchange Traded Product. These APs capitalize on the spread between the ETHE shares and the underlying product, in this case Ethereum, to make a yield through arbitrage. Put simply, if demand for ETHE begins to rises above current supply, Authorized Participants can create new shares by depositing actual ETH with Grayscale. In return, Grayscale grants the AP newly minted ETHE shares. The AP then is able to list these shares on the secondary market where retail traders can buy them. Historically these APs were able to mint new ETHE through this process of depositing ETH to Grayscale but they weren't able to redeem their ETHE shares back to ETH, however with the very recent onset of In-kind redemption and creation being permitted by the SEC , we are more likely to see a huge shift in the trend of redemptions. Now that the SEC has enabled these in-kind redemptions, we could see these APs opt to redeem their ETHE shares for ETH just so they could sell said ETH on the open market or use it as liquidity for privately negotiated block trades on CME futures market during times of stress. Say if there were sudden inflationary shocks, bond yields rose, or we had systemic banking risks, or even margin risk due to the underperformance of other sectors these institutions may have exposure to, we would likely see them let go of their riskiest assets first before resorting to selling other assets such as stocks and equities, especially those within the defensive categories. This would put Grayscales ETPs in direct danger of collapse as they lose liquidity from their APs and more importantly so it would put these underlying assets at risk of significant decline as the APs continue redeeming, adding supply to the open market, and selling. This would not only result in negative pressure being put on the underlying assets but will also most likely result in Grayscales ETPs falling a significant amount more than the underlying due to the drainage off liquidity and the resulting widening of spreads. Asa result I think the end game for a lot of these crypto adjacent ETPs and Stocks will be that they go bust especially the leveraged products even including stocks like MSTR which effectively act as a leveraged exposure ETF to Bitcoin. In spite of this negative view I do have some optimism for XRP but overall I am quite bearish on the crypto market and all of the adjacent products being created from it. In short: ETH along with BTC, which started out to as something to separate itself from the fiat banking system is now completely integrated and at the mercy of the fiat banking system along with all the macroeconomic risks that come with it. Technical Outlook for the Grayscale Ethereum ETP: We have a Bearish 5-0 that is completing at the 0.786 retrace we've recently made higher highs but that was likely on the onset of the SEC news release from a couple days ago being interpreted at a bullish capacity, however as the news settles I think it will be more of a negative outcome and us trading to the PCZ off that news provides a good opportunity to sell call spreads and buy puts on ETHE here.
AMEX:ETHEShort
by RizeSenpai
1
Strategy: The Convertible Trap The Convertible Trap Part One: The Architecture December 2024 Marcus Chen stood before the floor-to-ceiling windows of his corner office on the 47th floor of One Manhattan West, watching the city blur into twilight. The Bloomberg terminal on his desk glowed with a constellation of green numbers—Bitcoin had just crossed $110,000, and MicroStrategy's stock was up another 15% for the day. As Chief Investment Officer at Sovereign Capital Management, overseeing $480 billion in assets, he'd seen every financial instrument imaginable. But what Michael Saylor and MicroStrategy were building was something else entirely. "Marcus, you need to see this." Sarah Kozlowski, his senior analyst, burst through his door without knocking—a breach of protocol that meant something significant. She spread a series of charts across his Italian marble desk, her usually steady hands trembling slightly with excitement. "I've been modeling MSTR's convertible bond strategy for three weeks. It's not just clever—it's architecturally perfect." Marcus studied the papers. MicroStrategy had issued another $2 billion in convertible bonds at 0.875% interest, due 2029. The bonds could convert to MSTR shares if the stock hit $1,000—currently trading at $450. The company would use every dollar to buy more Bitcoin. "Explain it to me like I'm a client," Marcus said, though he understood perfectly well. He wanted to hear her reasoning. Sarah pulled up a chair, her Princeton MBA and MIT engineering background evident in how she structured her explanation. "Think of it as a three-layer cake. Layer one: Institutions like us, State Street, Vanguard—we're legally restricted from holding Bitcoin directly. Our charters, our compliance departments, our insurance policies—they all prohibit direct cryptocurrency exposure." "But they don't prohibit holding equities or corporate bonds," Marcus interjected. "Exactly. Layer two: MicroStrategy becomes our proxy. They hold Bitcoin, we hold them. But here's where it gets beautiful—they've promised publicly, legally, repeatedly, that they will never sell a single Bitcoin. It's their core value proposition. They're a Bitcoin black hole." Marcus walked to his window, processing. Twenty-three floors below, he could see the evening rush beginning on the Hudson River Greenway. Cyclists and joggers, oblivious to the financial architecture being constructed above them. "Layer three?" he asked. "The convertible bonds. We're calling them STRK internally—Saylor's Trap, Really, Kid—" Sarah smiled at the trader slang. "These aren't normal corporate bonds. They're a bet on MSTR reaching specific price targets. If MSTR hits $1,000, bondholders convert to equity. If not, they get their money back plus interest." "And MicroStrategy uses the bond proceeds to buy more Bitcoin," Marcus said slowly, "which drives up their stock price because they're leveraged to Bitcoin's movement, which makes the conversion more likely, which attracts more institutional money to the bonds..." "Which they use to buy more Bitcoin," Sarah finished. "It's a perpetual motion machine powered by institutional FOMO and regulatory arbitrage." Part Two: The Believers March 2025 The Sovereign Capital Management quarterly board meeting took place in the firm's pristine boardroom, with its Rothko paintings and panoramic views of the Hudson. Marcus presented to twelve board members, each representing different institutional stakeholders—pension funds, sovereign wealth funds, university endowments. "We're recommending a $3 billion position," Marcus said, clicking through his presentation. "Split between MSTR equity and the convertible bonds." Board member Patricia Thornton, former Federal Reserve governor, raised a manicured hand. "What's our downside protection?" "The bonds provide a floor," Marcus explained. "Even if Bitcoin crashes, MicroStrategy owes us the principal plus interest. They have Bitcoin reserves worth $30 billion against $8 billion in convertible debt." "Unless Bitcoin falls more than 70%," Patricia noted. "Which has happened before," added James Park, representing the California State Teachers' Retirement System. "2022, Bitcoin fell from $69,000 to $16,000." Marcus nodded. "True. But MicroStrategy's strategy has evolved. They're not just holding Bitcoin—they're the primary institutional gateway to Bitcoin. Every major fund that wants crypto exposure but can't hold it directly comes through them. They've become systemically important." "Too big to fail?" Patricia's tone was skeptical. "Too interconnected to fail," Marcus corrected. "State Street has $2 billion in MSTR. Vanguard has $3 billion. BlackRock, $4 billion. If MSTR fails, it takes down every institution's crypto allocation." The board voted 10-2 to approve the investment. That evening, Marcus met his old friend David Kim for drinks at The Campbell, a cocktail bar in Grand Central Terminal. David ran crypto strategy for Bridgewater Associates, the world's largest hedge fund. "You're buying MSTR?" David asked, swirling his $30 Old Fashioned. "Everyone is," Marcus replied. "You?" "Ray Dalio thinks it's the greatest example of reflexivity he's ever seen. George Soros's theory made real—market participants' biased views shape market fundamentals, which shape views, which shape fundamentals..." "Until?" Marcus prompted. David was quiet for a moment, watching commuters rush past the bar's entrance. "Until the only way to maintain the reflexivity is to never sell. Ever. Saylor's created a roach motel for capital. Money checks in, but it can't check out." Part Three: The Prophets June 2025 The "Bitcoin Miami 2025" conference was a spectacle of excess. Marcus attended reluctantly, sent by his board to "understand the ecosystem." The Miami Beach Convention Center pulsed with electronic music, laser lights, and the energy of 50,000 true believers. Michael Saylor's keynote was scheduled for prime time. Marcus found himself in the VIP section, surrounded by institutional investors trying to look casual in their business-casual interpretation of Miami wear—khakis and polo shirts that still screamed "Wall Street." Saylor took the stage to thunderous applause. At 60, he looked energized, evangelical. Behind him, a giant screen showed MicroStrategy's Bitcoin holdings: 423,000 BTC, worth $52 billion at current prices. "We are not a company," Saylor declared. "We are a Bitcoin bank for the institutional world. Every corporation, every pension fund, every sovereign wealth fund that cannot or will not hold Bitcoin directly—we are their bridge to the future." The crowd roared. Marcus noticed Sarah in the row ahead, frantically taking notes. "We will never sell," Saylor continued, his voice rising. "Not at $100,000. Not at $1 million. Not at $10 million per Bitcoin. MicroStrategy is where Bitcoin goes to live forever. We are the event horizon—once Bitcoin enters our treasury, it never leaves." After the speech, Marcus found himself at an exclusive rooftop party, hosted by Galaxy Digital. The Miami skyline glittered around them, Biscayne Bay stretching to the dark Atlantic beyond. "It's a cult," said a familiar voice. Marcus turned to find Christine Walsh, chief economist at the Federal Reserve Bank of New York, holding a mojito and looking deeply uncomfortable. "Christine? What brings the Fed to Bitcoin Miami?" "Systemic risk assessment," she said quietly. "We're tracking institutional exposure to crypto through MSTR. It's... significant." "How significant?" She glanced around, ensuring they weren't being overheard. "If you aggregate all the convertible bonds, equity holdings, and derivative exposure, the street has about $200 billion tied to MicroStrategy. That's not a company anymore, Marcus. It's a synthetic crypto ETF with no exit door." "The SEC approved actual Bitcoin ETFs last year," Marcus pointed out. "Which hold actual Bitcoin they can sell," Christine countered. "MicroStrategy holds Bitcoin it claims it will never sell. What happens when bondholders want their money back, but selling Bitcoin would break the company's core promise?" Before Marcus could answer, fireworks erupted over the bay, spelling out "BITCOIN" in golden sparks. The crowd cheered. Christine shook her head and disappeared into the party. Part Four: The Mechanics September 2025 Sarah's desk had become a command center for tracking the MSTR phenomenon. Six monitors displayed real-time data: Bitcoin price, MSTR stock, convertible bond prices, institutional holdings, social media sentiment, and blockchain analytics. "Look at this," she called Marcus over one morning. "MSTR's beta to Bitcoin is now 2.8x. When Bitcoin moves 1%, MSTR moves 2.8%." "That's the leverage," Marcus said. "They've borrowed to buy Bitcoin, so they're magnifying the moves." "But watch this," Sarah pulled up a correlation chart. "The convertible bonds are creating a feedback loop. When Bitcoin rises, MSTR rises faster, making conversion more likely, so bond prices rise, so MicroStrategy can issue more bonds at better terms—" "So they buy more Bitcoin," Marcus finished. "Show me the sensitivity analysis." Sarah clicked through her models. "If Bitcoin hits $200,000, MSTR goes to approximately $2,000 per share. Every convertible bondholder converts to equity. MicroStrategy can issue new bonds against the higher equity value." "And if Bitcoin falls to $50,000?" Sarah's expression darkened. "MSTR drops to around $150. They'd owe $15 billion in bond principal against Bitcoin holdings worth $20 billion. Still solvent, but barely." "What about $30,000?" "Then they're underwater. They'd have to sell Bitcoin to pay bondholders, but—" "But they've promised never to sell," Marcus said. "So they can't. They'd default instead?" Sarah nodded. "Or find another way. Issue equity at crushed prices. Negotiate with bondholders. But once they break the 'never sell' promise, the entire thesis collapses." Marcus studied the screens. Something felt familiar—dangerously familiar. He'd seen this kind of financial engineering before, in 2008, when mortgage-backed securities created similar feedback loops. "Sarah, model one more scenario for me. What happens if several major institutions try to exit simultaneously?" Her fingers flew across the keyboard. The model ran for several minutes, then displayed results that made them both step back. "Cascade failure," Sarah whispered. "If institutions holding 20% of MSTR try to exit, the selling pressure drops MSTR by 60%, triggering bond covenants, forcing Bitcoin sales, creating more selling pressure..." "Print that out," Marcus ordered. "And schedule a meeting with risk management. Today." Part Five: The Momentum December 2025 Bitcoin crossed $200,000 on December 15th, 2025. The financial media called it the "Saylor Singularity"—MicroStrategy's holdings were worth $100 billion, making it one of the most valuable companies in the S&P 500 despite having only 2,000 employees and minimal revenue outside of Bitcoin appreciation. Marcus watched the celebration from his office. On CNBC, analysts debated whether MSTR could reach $5,000 per share. On Bloomberg, Michael Saylor announced another $10 billion convertible bond offering—the largest in corporate history. "The institutional demand is insatiable," Saylor told the interviewer. "We're giving the world's largest financial institutions what they want—Bitcoin exposure with a corporate wrapper. We're the bridge between the old financial system and the new." Marcus's phone buzzed. David Kim from Bridgewater. "You seeing this?" David asked without preamble. "Watching Saylor on Bloomberg right now." "No, check the blockchain. Someone just moved 50,000 Bitcoin from a wallet dormant since 2010." Marcus pulled up the blockchain explorer. Sure enough, an ancient wallet—one of the original Bitcoin miners—had awakened. Fifty thousand Bitcoin, worth $10 billion at current prices, on the move. "Satoshi?" Marcus asked, referring to Bitcoin's pseudonymous creator. "Or someone from that era. Marcus, if original holders start selling into this rally..." "They sell into MSTR's buying," Marcus said. "MicroStrategy is the buyer of last resort. They have to be—they've promised to buy Bitcoin with every dollar they raise." "What if that's the point?" David's voice was strange. "What if the early Bitcoin holders have been waiting for someone like Saylor? Someone who would create a mechanism to buy their coins at any price, no questions asked?" Marcus felt a chill despite his office's warmth. "You're suggesting this was planned?" "I'm suggesting that anyone smart enough to create Bitcoin was smart enough to anticipate how institutions would eventually need to access it. And what better way to cash out tens of billions in Bitcoin than to create a buyer who publicly promises to never stop buying?" Part Six: The Warning Signs February 2026 The first crack appeared, as they often do, in an unexpected place. Turkey's central bank, facing a currency crisis, announced it would sell its Bitcoin reserves—50,000 coins accumulated since 2024. The market absorbed the selling initially, but then Iran announced similar plans, followed by Argentina. Marcus convened an emergency meeting with his team. "Sovereign sellers," he said, addressing the twelve analysts and traders gathered in the conference room. "We didn't model for this." "MicroStrategy is buying," one trader reported. "They're deploying their latest bond proceeds. Taking everything the sovereigns are selling." "At what price?" Marcus asked. "Bitcoin's down to $180,000. MSTR is at $1,400, off 30% from the peak." Sarah pulled up her models. "The February 2027 convertibles are now at risk. Strike price is $1,500. If MSTR doesn't recover, those bondholders will want cash, not equity." "How much?" "$4 billion in principal due." Marcus did quick math. "MicroStrategy would need to sell 22,000 Bitcoin to raise that cash." "Which they won't do," Sarah said. "Can't do. The moment they sell a single Bitcoin, their stock goes to zero. Every institutional holder exits. The thesis breaks." Patricia Thornton from the board called Marcus directly. "Are we hedged?" "We've bought put options on MSTR," Marcus confirmed. "But Patricia, if MSTR fails, those puts might not pay. The counterparties are the same institutions that own MSTR. It's all interconnected." "Systemic risk," Patricia said quietly. "Like 2008." "Worse," Marcus replied. "In 2008, the bad assets were mortgages on real houses. Here, the asset is Bitcoin—purely digital, purely psychological. If confidence breaks..." He didn't need to finish. Part Seven: The Unraveling May 2026 The Bloomberg headline was stark: "MicroStrategy Bonds Trading at 70 Cents on Dollar as Bitcoin Slides." Bitcoin had fallen to $120,000, down 40% from its peak. MSTR was at $800, down 60%. The mathematics were brutal and simple—leverage that magnified gains also magnified losses. Marcus attended an emergency meeting at the Federal Reserve Bank of New York. The room was filled with the who's who of American finance—CEOs of major banks, heads of regulatory agencies, senior government officials. Christine Walsh from the Fed led the meeting. "Total institutional exposure to MicroStrategy: $380 billion. That's direct holdings. Indirect exposure through derivatives and linked products: another $200 billion." "They can just hold the bonds to maturity," suggested the CEO of JPMorgan. "Get paid back in cash." "With what cash?" Christine asked. "MicroStrategy's business generates $500 million in annual revenue. They have $20 billion in convertible bonds outstanding. The only way they can pay is—" "Selling Bitcoin," finished the Treasury Secretary. "Which they've promised never to do." Michael Saylor appeared on the conference room screen via secure video link. Even through the pixelated connection, Marcus could see the strain on his face. "Gentlemen, ladies," Saylor began, "MicroStrategy remains committed to our strategy. We will not sell Bitcoin. We have alternative financing options—" "What options?" the JPMorgan CEO interrupted. "Your stock is down 60%. You can't issue equity at these levels. No one will lend to you." "We're in discussions with sovereign wealth funds—" "Who are selling Bitcoin themselves," the Treasury Secretary said. "Michael, the music has stopped. You need to sell Bitcoin to meet your obligations." Saylor's jaw clenched. "The moment we sell, we destroy $380 billion in institutional value. Every fund that bought MSTR as a Bitcoin proxy loses everything. Is that what you want?" The room fell silent. It was the ultimate prisoner's dilemma—everyone would be better off if MicroStrategy held, but MicroStrategy would be better off if it sold. Part Eight: The Cascade June 2026 The end came not with a bang, but with a spreadsheet. MicroStrategy's CFO, under pressure from bondholders and facing personal liability, leaked an internal document showing the company's true financial position. Without Bitcoin sales, they could operate for three more months. The convertible bonds due in August couldn't be paid without liquidating Bitcoin. The leak hit Reddit first, then Twitter, then the financial press. Within hours, MSTR was down 40%. Bitcoin, sensing weakness, fell 20%. Marcus watched from his office as the cascade began. Funds that had bought MSTR on leverage faced margin calls. To meet them, they sold MSTR, pushing it down further, triggering more margin calls. "It's 1987, 2008, and 2020 combined," Sarah said, standing beside him. "But faster. Everything's algorithmic now. The selling is automated." By noon, MSTR was down 70% for the day. Trading was halted seventeen times. Each halt only increased the panic—buyers disappeared, knowing more selling was coming. Then, at 2:47 PM Eastern Time, the announcement came: "MicroStrategy Announces Strategic Bitcoin Sales to Ensure Financial Stability." The press release was corporate speak for capitulation. They would sell 100,000 Bitcoin—roughly 20% of their holdings—to pay off near-term debt and establish a cash cushion. The market's reaction was swift and brutal. If MicroStrategy was selling, everyone would sell. Bitcoin fell from $100,000 to $70,000 in an hour. MSTR stock, briefly halted, reopened down 85% from the morning. Part Nine: The Reckoning July 2026 The congressional hearing was held in the Rayburn House Office Building, the same room where they'd grilled bank CEOs after 2008. Michael Saylor sat alone at the witness table, facing forty-three members of the House Financial Services Committee. "Mr. Saylor," the committee chair began, "your company's failure has resulted in over $400 billion in losses to institutional investors, pension funds, and retirement accounts. How do you explain this?" Saylor leaned into the microphone. "MicroStrategy didn't fail. We adapted to market conditions. We still hold 400,000 Bitcoin—" "Worth $30 billion at current prices," the chair interrupted. "Down from $100 billion. Your stockholders have lost everything. Your bondholders are being paid back at 30 cents on the dollar." "The strategy was sound," Saylor insisted. "We created a mechanism for institutions to gain Bitcoin exposure—" "You created a trap," the ranking member interjected. "A financial weapon of mass destruction, as Warren Buffett might say. Institutions couldn't buy Bitcoin directly, so they bought your promises. And when those promises broke..." Marcus watched the hearing from his office—one of the few he still had. Sovereign Capital had survived, barely, by selling their MSTR position in January before the worst of the collapse. They'd lost $800 million but avoided the complete wipeout that befell others. State Street: $2 billion loss. Vanguard: $3 billion loss. Various pension funds: $50 billion combined. The numbers were staggering, but the second-order effects were worse. The collapse in Bitcoin and MSTR had triggered a broader market selloff. Crypto-correlated stocks crashed. Tech stocks, seen as speculative, fell 30%. Credit markets froze as institutions faced massive losses. Part Ten: The Revelation September 2026 Marcus met David Kim at a coffee shop in Greenwich Village, far from their usual Wall Street haunts. Both men had left their firms—Marcus to start a small advisory business, David to teach at Columbia. "I've been analyzing the blockchain," David said, sliding a tablet across the table. "Look at this." The screen showed Bitcoin wallet analytics—flows, timing, amounts. "Remember those early wallets that woke up during the boom? They sold perfectly into MicroStrategy's buying. Almost like they knew exactly when and how much MSTR would buy." Marcus studied the data. "You're suggesting coordination?" "I'm suggesting something more elegant. What if Satoshi—or whoever created Bitcoin—understood that institutional adoption would require an intermediary? A bridge between the anarchist vision of cryptocurrency and the regulatory reality of institutional finance?" "MicroStrategy," Marcus said slowly. "Not specifically MicroStrategy, but something like it. Some entity that would promise to never sell, becoming a one-way valve for institutional capital. The early holders could sell into institutional buying, cashing out billions, while institutions got exposure to an asset they couldn't directly hold." Marcus sat back. "But that would mean—" "That Bitcoin was designed from the beginning as history's greatest liquidity extraction mechanism. Not a conspiracy, exactly. More like... intelligent design. Create a scarce digital asset, wait for institutional FOMO, provide a mechanism for them to buy but never sell, then cash out into their buying." "That's insane," Marcus said. "Is it?" David pulled up another chart. "Look at the net flows. Early Bitcoin holders—the ones from 2009 to 2013—cashed out $500 billion during the MicroStrategy boom. That money came from institutions, pension funds, retirement accounts. It was the greatest wealth transfer in history, from institutional capital to anonymous early adopters." Marcus stared at the data. The pattern was undeniable. Part Eleven: The New Normal December 2026 Bitcoin stabilized around $50,000. MicroStrategy, restructured through bankruptcy, emerged as a small software company again, its Bitcoin holdings liquidated to pay creditors. Michael Saylor stepped down, his fortune evaporated, his legacy complicated. The congressional committee issued a 400-page report recommending new regulations on corporate cryptocurrency holdings and convertible bond issuances. The SEC implemented strict rules on institutional crypto exposure. The era of financial engineering through crypto proxies was over. Marcus stood in his new office—smaller, simpler, with a view of the East River instead of the Hudson. He was writing a book about the MicroStrategy phenomenon, trying to capture the madness and brilliance of it all. His phone buzzed. Sarah, now running her own research firm. "You see the news?" she asked. "What now?" "Some company in Singapore is issuing Bitcoin-backed bonds. They promise to hold Bitcoin forever, never sell. Institutions are interested." Marcus laughed, dark and knowing. "Different verse, same song." "You think it'll happen again?" Marcus looked out at the river, watching a container ship navigate toward the Atlantic. "The names change, the instruments evolve, but the pattern remains. Someone creates a mechanism to concentrate wealth while appearing to democratize it. Investors, driven by greed and FOMO, pile in. The machine runs until it can't. Then it collapses, and we promise never again." "Until the next time," Sarah said. "Until the next time." Epilogue: The Historian 2030 Professor Marcus Chen stood before his graduate finance class at Columbia Business School. On the screen behind him: a chart of Bitcoin's price from 2009 to 2030, with the MicroStrategy era highlighted in red. "The MicroStrategy collapse of 2026," he began, "represents a unique moment in financial history. It wasn't fraud, exactly—everything was disclosed. It wasn't illegality—regulators had approved it all. It was something more subtle: a system designed to fail profitably." A student raised her hand. "Professor, do you think it was intentional? The whole Bitcoin-to-institutional-capital pipeline?" Marcus considered the question he'd been pondering for four years. "Intent is hard to prove. But consider this: Bitcoin was created by someone or some group brilliant enough to solve the double-spending problem that had plagued digital currency for decades. They created a system that survived every attack, scaled beyond anyone's imagination, and eventually attracted trillions in institutional capital." He clicked to the next slide, showing fund flows from 2024 to 2026. "Is it so hard to believe they also anticipated how institutions would need to access Bitcoin? That they understood regulatory constraints would require intermediaries? That those intermediaries would create the perfect exit liquidity for early holders?" The class was silent, absorbing the implications. "The MicroStrategy story isn't just about one company or one man's obsession with Bitcoin. It's about how financial innovation can become financial extraction. How complexity can hide simple wealth transfers. How the promise of democratization can enable unprecedented concentration." He clicked to his final slide: a quote from Satoshi Nakamoto's original Bitcoin whitepaper: "The traditional banking model achieves a level of privacy by limiting access to information to the parties involved and the trusted third party. The necessity to announce all transactions publicly precludes this method, but privacy can still be maintained by breaking the flow of information in another place: by keeping public keys anonymous." "Perhaps," Marcus said, "the real innovation wasn't the anonymity of transactions, but the anonymity of the architects. They built a machine that would inevitably create its own exit liquidity, then disappeared before anyone understood what they'd built." A student in the back called out, "So it was all a scam?" Marcus smiled, the same ambiguous smile he'd worn since 2026. "No, not a scam. Something more elegant and more troubling. A system working exactly as designed, just not as advertised. The greatest magic trick in financial history—making institutional wealth disappear into anonymous wallets, and making everyone applaud the innovation while it happened." The bell rang. Students filed out, discussing the lecture in hushed tones. Marcus remained, staring at the Bitcoin price chart, still wondering if he was seeing patterns that weren't there or missing patterns that were. His phone buzzed. A news alert: "New DeFi Protocol Promises Institutional Gateway to Cryptocurrency 2.0." Marcus shook his head and smiled. The machine was starting up again, with new gears, new levers, but the same essential mechanism—a one-way valve for institutional capital, a promise of revolution that delivered extraction. He gathered his papers and left the classroom. Outside, New York hummed with its eternal energy, fortunes being made and lost, the next financial innovation always just around the corner. In his pocket, his phone buzzed again. He didn't check it. He knew what it would say—someone, somewhere, was building the next MicroStrategy, the next bridge between institutional capital and digital assets. The next trap. The cycle continued.
NASDAQ:MSTRShort
by Terrapins
5
MSTR Holding the Line: Support Tested AgainMSTR (MicroStrategy) continues to respect its ascending trendline, a bullish sign showing buyers remain in control. Technical Points: Price tapped the trendline support for the fourth time and bounced, confirming its strength. Volume remains stable during pullbacks, suggesting these dips are being absorbed by buyers rather than panic selling. As long as MSTR holds above $1,400 (trendline + previous support zone), the bullish structure remains intact. Next targets: $1,600, then $1,750, with potential for new highs if Bitcoin strength continues. Bottom line: Repeated successful tests of the trendline show strong market confidence. Unless this trendline breaks with conviction, the path of least resistance is still up.
NASDAQ:MSTRLong
by The_Earnings_Correspondent
2
ethbtc [W] - 2019 shelf retest & long exit (April to Aug 25)So we've had a pretty eventful 2025 so far for eth . For most wanting to know why eth moves have been so aggressive and to quote an old mentor "Gung-Ho", all we need to do really is take a look at ETHBTC. Historically alts have had their moments in relation to their strength (or weakness) against bitcoin. this time is no different. To key my chart, the yellow lines show the point of control or gain/failure for any given local spot. the red and green bands are by extension a couple of points above or below that mark. These bands represent 'slippage' or liquidity points provided by either algo (standard deviations), stop losses and failure of trend. To be fair the size of the band is relative to the volatility of the underlining pair. In this example i believe it should fall within the 3.2-->13.6% range. enough to liquidate or margin call all positions from 20x to 5x. This represents the majority of open interest in any given point. My goal is always to observe the point of control and look to rebound from these initial liquidity hunts. April 2025 gave us this opportunity and cleared the bench. For those late to the party the market offered us a juicy little v-bottom setup. from there on you had exits all the way up to the liquidity band sitting just above the support shelf created all the way back in 2019. By no means am I claiming the move is 100% done, but if you check volume, I'd say 80%+ has exited, and so am I. NEXT: rotate back into BTC primarily and watch. Sentiments not all that great in the real world, but at least this move has some definitive-ness to it. Peace out #btc #eth #ethbtc #2025 #alt #mstr #goingup-goingup
by gravy49
$MSTR shallow wave 2 underway before explosive move ?MicroStrategy has been caught in a range since Nov 2024 possibly building momentum for a large breakout into price discovery, continuing its huge rally from 2024. Price appears to ave completed an Elliot wave 1 with wave 2 now underway with a target of the ascending daily 200EMA $340, the 0.382 Fibonacci retracement. Weekly RSI is currently showing bullish divergence but daily suggests we have one push lower to get to oversold! Bitcoin stocks have all had a decent retracement causing me to upgrade my Elliot Wave count to a completed macro wave 1 with wave 2 now underway, suggesting the best returns are still to come over the next months for this category asset class in wave 3! Analysis is invalidated if we go to new highs above $457 or lose $229 New long signals are certainly building in the DEMA PBR and Price Action strategies so keep an eye out on the Trade Signals Substack as we have made very food profits lately in these markets! Safe trading
NASDAQ:MSTR
by Maddox_Metrics
Why Pay $250K for a $115K Bitcoin? Welcome to Strategy (MSTR)This is already the third article I’ve written about Strategy (formerly MicroStrategy), and for good reason. You don’t need to be a financial expert to ask: why buy a stock that simply mirrors Bitcoin’s price — but at a massive premium? No matter how sophisticated the explanations may sound, or how many times you’re told that “if you don’t understand it, it must be brilliant,” the reality is much simpler — and much more absurd. Buying Strategy today is like paying $250,000 for Bitcoin while the actual market price is $115,000. It’s not about complexity. It’s about common sense. I won’t dive too deep into it — no need to fight “financial sophistication” with even more sophisticated words. The point is simple: buying Strategy is like paying me $10,000 just so I can hold your $10,000 and call it an “innovative capital deployment strategy.” Sounds smart, right? Until you think about it for more than five seconds. Now let’s look at the posted charts — simple and visual. Strategy (MSTR) hit its all-time high in November 2024, right when Bitcoin first reached $100,000. Then came a sharp correction of more than 50% for the stock. Fast forward: even though Bitcoin went on to make new all-time highs, Strategy didn’t follow, it seems like people were finally starting to wake up. When BTC peaked again in mid-July 2025, Strategy only managed to reach $455 — well below its November ATH. Since then, BTC has pulled back about 10%, while Strategy dropped around 20%. So much for the “outperformance” argument. And here’s where things get even harder to justify: In the past, some institutions bought MicroStrategy because they couldn’t hold Bitcoin directly. Fair enough. But now? Spot Bitcoin ETFs are live, regulated, widely available, and charge tiny fees — without the leverage, dilution risk, or premium baked into Strategy. So what’s the excuse now? Where are we now? At this moment, even though I’m not too happy about this week’s Bitcoin weakness, I remain cautiously bullish — emphasis on cautiously. But let’s entertain a scenario. If Bitcoin continues to correct, Strategy is sitting right on support. And if BTC breaks lower, Strategy will almost certainly follow — breaking support and heading toward the next level. That next support? Somewhere around $240–250, depending on how deep the Bitcoin pullback goes. But here’s the real question: What happens if Bitcoin enters a true bear market? Will Strategy — which just recently rebranded from MicroStrategy — be forced to rebrand again as… NanoStrategy? Just a Saturday thought.
NASDAQ:MSTRShort
by Mihai_Iacob
14
MSTR WEEKLY OPTIONS SETUP (2025-07-28) ### 🔻 MSTR WEEKLY OPTIONS SETUP (2025-07-28) **Bearish Divergence with High Confidence — Time to Strike with a PUT?** --- 📊 **Momentum Recap:** * **RSI:** Bearish 📉 * **Volume:** Weak (institutional exit risk) * **Options Flow:** Mixed (calls > puts, but no alignment with price) * **Sentiment Models:** Split 4:1 → **Only Claude/Anthropic** goes bearish with conviction 🧠 **Model Consensus:** > “Momentum is weak, volume fading, and no upside confirmation = bearish edge.” --- ### ✅ SETUP OVERVIEW * 🔍 **Trend:** Bearish (declining RSI) * 📉 **Volume:** Weak = reduced institutional conviction * 💬 **Options Flow:** Bullish bias, but **contradicts price trend** * ⚙️ **Volatility:** Elevated, potential reward for directional plays **Overall Bias:** 🔴 *Moderately Bearish* --- ### 💥 TRADE IDEA: MSTR \$400P * 🎯 **Strategy:** Long Weekly Put * 🔻 **Strike:** 400.00 * 📆 **Expiry:** Aug 1, 2025 * 💸 **Entry Price:** \$8.65 * ✅ **Profit Target:** \$12.50 * 🛑 **Stop Loss:** \$4.00 * 📈 **Confidence Level:** 72% (backed by Claude model) * 📉 **Breakdown Trigger:** Below \$405 confirms bearish flow * ⚠️ **Invalidation:** Break above \$415 → exit early --- ### 📦 TRADE\_DETAILS (Backtest/Algo Ready JSON) ```json { "instrument": "MSTR", "direction": "put", "strike": 400.0, "expiry": "2025-08-01", "confidence": 0.72, "profit_target": 12.50, "stop_loss": 4.00, "size": 1, "entry_price": 8.65, "entry_timing": "open", "signal_publish_time": "2025-07-31 09:30:00 UTC-04:00" } ``` --- ### 🧠 TRADE INSIGHTS * 🟥 4/5 models say **no trade** due to signal divergence * 🧠 **Claude’s bearish thesis = cleanest directional setup** * 🚨 Volume + RSI combo = downside confirmation * 🧭 Watch key price reaction zones: **\$400–\$405 (support)** / **\$415 (resistance cap)** --- **#MSTR #PutOptions #WeeklyTrade #BearishSetup #OptionsFlow #QuantTrading #ClaudeModel #MarketMomentum**
NASDAQ:MSTRShort
by quantsignals
MSTR - Microstrategy Short...for now.The White Fork is created by choosing point A, which must be the lowest price before the swing. B and C are the natural high and low of the swing we want to measure. What this gives us is a Pitchfork that projects the most probable path of price. Additionally, with the three lines that make the Fork, we have the natural extremes above, below, and the center—the mean. We can see that price started to rise in March 2025. The 80% rule states that price will reach the Centerline around 80% of the time. And as we see, it did this time as well. Price reached the CL (Center Line), and immediately the big whales dumped positions. Then price fell—only to be picked up before reaching the Lower Line, also called the L-MLH or Lower Median Line Parallel. When price can't make it to this (or any of these) lines, we call this a 'Hagopian,' because it follows 'Hagopian's Rule.' This rule says that if price can't reach 'the line' (the L-MLH in this case), there is a high chance that price will reverse in the previous direction (up in this case), and even go further than where it came from (the Centerline). And as we see, price indeed traded upwards—beyond where it came from—and overshot the Centerline (CL). Unfortunately for long-positioned traders, the gas in the goose was empty, and price now starts to head south again, missing the target, which would have been the U-MLH (Upper Median Line Parallel). So, the open happened below the CL! If we also see a close this week, I'm ready to initiate a short trade. Why? Well, as before, Hagopian’s Rule applies—an indication that price will trade further down than where it came from, which is below $361. And since we know that the natural target is the Centerline about 80% of the time, we have a heck of a good chance that we’ll be happy campers in a couple of weeks. :-) With a risk/reward of about 2 to 3, and such a high chance of a profitable trade, I’ll sleep like a baby in the coming weeks. The trade idea would be cancelled if price closes above the CL this Friday. Let’s stalk it closely...
NASDAQ:MSTRShort
by Tr8dingN3rd
MSTR – On the Path to New ATHI was initially skeptical about the recovery structure unfolding since the April lows — it looked like a possible macro lower-high before deeper correction (as outlined in my previous idea). However, given the strength in underlying #BTC price action (covered in my recent video-idea on crypto trend structure) and clear signs of constructive consolidation and accumulation during the July breakout, Isee strong odds for follow-through toward the 520–570 resistance zone in the coming weeks. This move may align with CRYPTOCAP:BTC testing its macro resistance near 130K (see my macro BTC analysis on the idea section). If NASDAQ:MSTR can break above 570 and sustain a close above it, it opens the door to a potential immediate follow-through toward the 650–755 macro resistance zone. But a scenario for more prolonged consolidation around 570 would in fact serve as a solid base for more stable and prolonged next long-term leg higher.
NASDAQ:MSTRLong
by artemfedorov
1
BTCUSD: Bearish Logscale Butterfly with Bearish RSI DivergenceBitcoin has been setting up at the log adjusted 1.902 HOP for a Type 2 retest of the Logscale Bearish Butterfly for the last few months but recently pushed a bit above it and appears to be settling at the linear 1.902 HOP of the local price around the $118,000 area. Between $104,000 and $118,000 is a zone of linear of logscale Fibonacci confluence pointing towards the being the area to look for a more major downside reaction than we got off the initial Type 1 Reaction 1.618 PCZ reversal in 2021. The most recent push to the linear 1.902 seems to have allowed the structure of the RSI to develop a more Bearishly Distributive and Divergent curve, while the MACD is in the process of developing a 2nd layer of Bearish Divergence. Ultimately at these highs we'd like to see the RSI weaken further as price begins to settle back within the 1.902 bearish zone of confluence before being more sure of downside. Additionally, during the push higher, longer dated bearish call interest came in around the 123-125k levels which to me signals a newly formed hard resistance that will be hard to gap over and will make failure here more likely. I think if we do see failure we can of course fill the CME gap down at 91.8k, but ultimately the true first target is down at 30k with max targets down near the 0.886 around $4.8k and the 100 percent retrace down at around $3,123.51 over the coming quarters. Taking into account the wide range in downside exposure I think the best and safest way to speculate on this downside would be through the buying of the March, 27th, 2026 Puts at the $95,000 strike or the closest IBIT equivalent March, 20th, 2026 Puts at the 58 strike this will give plenty of time, as well as plenty of range for the puts to appreciate 10's of thousands of dollars in value as BTC trades down into the targeted zones below it.
INDEX:BTCUSDShort
by RizeSenpai
1
ETHUSD: Double Top into A Bearish 5-0 Breakdown (Extended)Updated Commentary: ETH has extended a bit further than projected as the Pattern Completed at the 0.618 but ETH gapped into the 0.786 instead. The gap up aligned with an upside gap fill on the CME futures as well as a gap fill on the grayscale ETH futures ETF $ETHE. The easier move from here to simply add to the ETH shorts and adjust the stop to be above the previous highs while sizing up at the 0.786 and playing off this gap higher as an anomaly. Beyond this, my view on ETH at the current 0.786 retrace remains the same as the original Idea posted as ETH rose into the initial 0.618 PCZ the details of which I will also include once again below as it still remains relevant. ETH for the last 5 years has been developing a Double Topping pattern which has put in a series of lower highs during the most recent 2nd run up. As we've confirmed these lower highs we've broken down below trendline and are finding resistance at the trendline which happens to have confluence with the PCZ of a Bearish 5-0 wave formation near a 0.786 retrace. As we begin to find weakness and Bearish price action begins I suspect price will make it's way towards the neckline of the double top aligning with the $880 price level if ETH breaks below that level there will be no significant support until it reaches the all-time 0.382 retrace down at around $92.10. In short it seems ETH is in the early stages of a macro breakdown which could result in value declines greater than 80%. I also suspect that we will see many of the assets that ran up significantly going into this week to sharply reverse those run-ups as this week comes to a close and the new week begins mainly due to the effects of OpEx, this includes: Bitcoin, MSTR, SOL, XLC, META, and BTBT. Long-dated Put accumulation on these assets at these levels is far easier to manage than naked short positions and that's how I will go about positioning here.
INDEX:ETHUSDShort
by RizeSenpai
MSTR stock has seen a strong rally since JuneSince June, MSTR stock has seen a strong rally—rising from the mid‑$300s to above $430—driven by a few key factors: Bitcoin’s continued ascent has fueled sentiment. Bitcoin recently hit fresh record highs (above $118K), driven by a weakening dollar and bullish macro trends, which in turn boosted bitcoin-linked equities like MicroStrategy. In short, MSTR’s rally since June has been largely Bitcoin-driven: a powerful combination of rising crypto prices, ongoing BTC purchases, proactive capital raises, and positive analyst sentiment creating a bullish feedback loop. Let me know if you'd like a breakdown of Bitcoin’s trend or deeper insight on MSTR’s financing strategy. $447 will be my next buy TP. Please, share your thought, like, share and follow me.
NASDAQ:MSTRLong
by ForexClinik
MicroStrategy ($MSTR) – Bitcoin Proxy Setting Up AgainMicroStrategy Incorporated NASDAQ:MSTR remains the definitive institutional proxy for Bitcoin exposure, uniquely combining its enterprise software operations with a high-conviction, leveraged Bitcoin accumulation strategy. Its $1.42B BTC purchase in April 2025 further cements this thesis, making MSTR a prime vehicle for traders seeking amplified BTC exposure via equities. Since our May 5th analysis, MSTR has rallied ~14.61%. We’re now eyeing a re-entry opportunity on a pullback to the $394–$387 zone, aligning with technical support and previous consolidation. 🎯 Bullish targets remain unchanged: $490.00–$500.00, backed by Bitcoin strength and MicroStrategy’s unwavering strategy. 🔁 Re-entry: $394–$387 🟩 Targets: $490–$500 #MSTR #Bitcoin #CryptoStocks #BTC #StockMarket #TechnicalAnalysis #MicroStrategy #HighBeta #CryptoExposure #TradingSetup
NASDAQ:MSTRLong
by Richtv_official