Exactly One Year After Strategy’s All-Time High, the Bitcoin-Linked Slide Intensifies

Veteran trader Peter Brandt remains optimistic despite Bitcoin's recent price decline, projecting that BTC could reach $200,000 in the next market cycle. Brandt views the current downturn as a necessary correction, suggesting that it may pave the way for future growth in the cryptocurrency market.

Citron Research has marked one year since it took a short position against Strategy, also known as MicroStrategy, while simultaneously going long on Bitcoin. The firm has defended its stance, highlighting the contrasting performance of its investments over the past year.

A significant selloff has caused ICP to drop below the critical support level of $4.33, with a notable increase in trading volume confirming the accelerated downtrend. This decline highlights the ongoing bearish sentiment in the cryptocurrency market.

Japanese bitcoin treasury firms are outperforming their U.S. counterparts, largely due to Japan's stringent crypto tax policies that drive investors towards Digital Asset Trust (DAT) stocks. This situation contrasts with U.S.-listed bitcoin treasury firms, which are struggling to compete with exchange-traded funds (ETFs).

HBAR, the native token of Hedera, has experienced a significant decline of 11.5%, breaking below critical support levels. This drop has been accompanied by a trading volume surge of 98% above average, primarily driven by institutional sellers. The price has fallen to $0.1373, raising concerns about liquidity and structural pressures within the market.

Michael Saylor, the executive chairman of MicroStrategy, has responded publicly amid growing concerns regarding the potential exclusion of the company from MSCI indices, following a warning from JPMorgan. This situation has intensified scrutiny on Saylor's cryptocurrency strategy, particularly as it could lead to significant financial outflows.

CryptoQuant CEO Ki Young Ju defended MicroStrategy's (MSTR) Bitcoin strategy amid concerns of forced liquidation and bankruptcy. Ju stated that MSTR's capital structure protects it from bankruptcy unless an extreme event occurs, urging critics to provide evidence for their claims. His comments coincided with a Bitcoin price decline, which has led to renewed fears about MSTR's debt obligations and potential BTC sales.

Michael Saylor, CEO of Strategy (MSTR), has publicly dismissed concerns regarding potential outflows linked to MSCI indices, asserting the company's strong commitment to Bitcoin. He highlighted that Strategy operates a $500 million software business alongside a $7.7 billion Bitcoin-backed digital credit program, reinforcing confidence in their Bitcoin strategy.