The stock of Strategy (MSTR) is down 10%, mirroring the decline seen in the cryptocurrency market.
MSTR stock is taking a hit as the price of Bitcoin (BTC) has fallen to $88,000, its lowest level in three months and below the key support threshold of $90,000. Bitcoin, which is the largest cryptocurrency by market capitalization, is now down nearly 20% from the all-time high of just over $109,000 reached on the day of U.S. President Donald Trump’s inauguration in late January.
A 20% decline from recent highs is the technical definition of a bear market and comes as other cryptocurrencies suffer steep losses, with Ethereum’s (ETH) price down nearly 10% in the past 24 hours. Strategy, which is the largest corporate holder of BTC in the world, has seen its stock become closely correlated with crypto prices in recent months.
Steep Decline
Strategy, which until recently was known by its former name MicroStrategy, has now seen its share price decline for three consecutive trading days, falling 22% over that period of time. It has been the worst three-day stretch for MSTR stock since November 2022 when it declined 34%, according to market data.
Strategy currently owns 499,096 Bitcoin worth $43.92 billion at current prices. The company led by chairman Michael Saylor, most recently paid $1.99 billion in cash for 20,356 Bitcoins between Feb.18 and 23, at an average price of $97,514. The average price that Strategy has paid for its BTC holdings is $66,357, the company said in a recent regulatory filing.
MSTR stock has declined 12% so far in 2025.
Is MSTR Stock a Buy?
The stock of MicroStrategy currently has a consensus Strong Buy rating among 11 Wall Street analysts. That rating is based on 11 Buy recommendations issued in the past three months. There are no Hold or Sell ratings on the stock. The average MSTR price target of $548.91 implies 113.96% upside from current levels.
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