MSTR

Discussion in 'Trading' started by wxytrader, Jul 17, 2025 at 5:32 AM.

  1. wxytrader

    wxytrader

    What happened to MSTR? It can't even reclaim its previous highs at these levels...its barely moving relative to bitcoin like it used to before dilution. Concerned MSTY owners want to know lol.

    @johnarb

    I expected to see you gloating about some call leaps but they may still be way otm even after this rally.
     
    Last edited: Jul 17, 2025 at 5:47 AM
  2. Back when it was the only “Bitcoin stock,” MSTR exploded with every BTC move. Now every desperate small-cap is issuing shares to buy crypto, and spot ETFs offer cleaner, direct exposure.
    More competition = less demand = lower premium.

    Take SBET — it’s trading at a 240% premium to its Ethereum holdings.
    There are now countless ways for investors to overpay for crypto exposure instead of just buying the asset 1:1.

    This ends badly.
     
    Last edited: Jul 17, 2025 at 6:22 AM
    Cam12, p0box4 and Sekiyo like this.
  3. deltaf0rce

    deltaf0rce

    I’m just trading options on IBIT this cycle - MSTR is a good hold for now but the premium is definitely compressing
     
  4. wxytrader

    wxytrader

    Yeah — but they also did a 12-for-1 reverse split, so it really just moved from $3.33 to $11.67 in pre-split terms.
     
  5. ktm

    ktm

    Microtragedy has been "ending badly" for the faithful for decades now.
     
  6. Pekelo

    Pekelo

    MSTR is at its highest in its last 8 months, what seems to be the problem? Pretty much doubled in the last 3 months.
     
  7. wxytrader

    wxytrader

    When bitcoin first broke 100k MSTR was at ath $542...now with bitcoin at 118k its only at $449...that's the problem.

    Rally #1: BTC $52K → $100K
    Metric Value
    BTC Gain +92.3%
    MSTR Gain +270.4%
    MSTR Price Move $135 → $500
    BTC Price Move $52K → $100K
    MSTR/BTC Sensitivity 2.93x

    Rally #2: BTC $75K → $118K
    Metric Value
    BTC Gain +57.3%
    MSTR Gain +92.8%
    MSTR Price Move $235 → $453
    BTC Price Move $75K → $118K
    MSTR/BTC Sensitivity 1.62x

    Takeaway:
    Metric Rally #1 Rally #2 Change
    BTC Gain 92.3% 57.3% ↓ Slower BTC move
    MSTR Gain 270.4% 92.8% ↓ Much smaller move
    Sensitivity (MSTR/BTC) 2.93x 1.62x Down 45%
     
    Last edited: Jul 17, 2025 at 9:55 AM
  8. demoncore

    demoncore

    If you were smart you were long IBIT, short MSTR, long MSTY. We know the answer.
     
  9. wxytrader

    wxytrader

    ?

    Scenario 1: All in MSTY
    • Buy: $100,000 ÷ $20.09 = 4,978 shares

    • Now: $22.85 → Value = 4,978 × $22.85 = $113,788.30

    • Gain: +$13,788.30

    • Dividends: 4,978 × $1.24 = $6,172.72

    • Total Return: +$19,961.02


    Scenario 2: $100K Split
    • IBIT: $33.3K → 761 shares @ $43.80 → now $67.31
      • Gain: +$17,926.11
    • MSTR (short): short 137 shares @ $243 → now $453.27
      • Loss: - $28,938.99
    • MSTY: $33.3K ÷ $20.09 = 1,658 shares
      • Now: 1,658 × $22.85 = $37,898.30

      • Gain: +$4,598.30

      • Dividends: 1,658 × $1.24 = $2,055.92
    • Net P&L:
      • Gain: $17,926.11 + $4,598.30 + $2,055.92 = $24,580.33

      • Loss: -$28,938.99

      • Total Return: - $4,358.66


    Conclusion:
    • All MSTY: +$19,961.02

    • Blend: - $4,358.66

    • MSTY outperformed blend by: +$24,319.68
     
  10. Pekelo

    Pekelo

    You mean ages ago? And there was an obvious short squeeze going on. The last 7-8 months of MSTR's movements have been according to BTC's movement, so nothing to cry for.