Strategy Stock Rallies 27% This Week as Bitcoin Short Squeeze Fuels $1.4B Unrealized Gain
MSTR sits 47% above its 52-week low of $81.81.
Summary
Strategy shares surged 27% this week, outpacing Bitcoin's 19% gain, as a $500 million short squeeze drove Bitcoin to approximately $72,500. The rally pushed Strategy's Bitcoin holdings into a $1.4 billion unrealized gain, a sharp reversal from the $13 billion unrealized loss when Bitcoin hit its July low of $58,000. The company holds 840,447 BTC at an average cost of $75,385 per coin and has built a U.S. dollar reserve covering 2.8 years of dividend obligations. Strategy added $11.92 billion in market cap over three sessions, trading 19.41% above its 50-day SMA but still 17.23% below its 200-day SMA. The move follows the Treasury's expansion of long-term bond buybacks, which briefly lowered yields and lifted risk assets. Strategy shares hit a two-month high as STRC rebounded toward $100 alongside bitcoin.
At the time of this announcement, MSTR was trading at $120.03 on NASDAQ in the Crypto Assets sector, with a market capitalization of approximately $46.1B. The 52-week trading range was $81.81 to $365.21. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Benzinga.