Latest news with #MarkusThielen
Business Insider
27-05-2025
- Business
- Business Insider
Strategy (MSTR) Buys More Bitcoin, But the Stock Is Lagging the Crypto
Strategy (MSTR), the largest public company with Bitcoin holdings, announced that it sold 847,000 shares between May 19 and May 25 in order to raise $348.7 million through its ongoing stock offering. The company then used the funds to buy 4,020 more Bitcoins to bring its total holdings to 580,250 BTC. It is worth noting that Strategy has been steadily buying Bitcoin since 2020 and has become a popular way for investors to get exposure to Bitcoin without directly owning it. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Interestingly, even though Bitcoin recently hit a new record high above $110,000, Strategy's stock hasn't kept up. While Bitcoin keeps rising, MSTR is still well below its all-time high of $543. As a result, this gap is raising some concerns. Indeed, Markus Thielen from 10x Research recommended a bearish trade on MSTR by buying a $370 put and selling a $300 put (expiring June 27), which will reach its maximum profit if the stock drops to $300 or lower. Thielen said this strategy reflects the growing disconnect between Bitcoin's strength and Strategy's slower stock performance. Thielen believes that this put spread can help hedge against a drop in Bitcoin or Strategy. He also noted that a similar gap between MSTR and Bitcoin happened before Bitcoin's last major top in 2021. While that doesn't mean Bitcoin's rally is over, it does suggest that some big investors are becoming more cautious. Thielen said, 'Bitcoin is breaking records, but Strategy is stalling—and that divergence matters,' adding that this could be a turning point for investors. Is MSTR a Good Stock to Buy? Turning to Wall Street, analysts have a Strong Buy consensus rating on MSTR stock based on 12 Buys, zero Holds, and one Sell assigned in the past three months, as indicated by the graphic below. Furthermore, the average MSTR price target of $524.92 per share implies 42% upside potential.
Yahoo
26-05-2025
- Business
- Yahoo
Bearish Bets on Strategy Look Alluring, Says 10X Research as MSTR Diverges From Bitcoin's Bull Run
10x Research, led by Markus Thielen, likes bearish options bets on Strategy (MSTR) as the Nasdaq-listed bitcoin BTC holder's share price diverges from the upward trending BTC price. In a report sent to clients Friday, Thielen recommended a bear put spread on MSTR, involving a long position in the $370 put option and a short position in the $300 put, both expiring on June 27. This strategy will yield maximum profit if MSTR drops to $300 or lower by June 27, representing a bearish bet on the stock price. Put option insures the buyer against potential price drops in return for a small upfront premium payment. The maximum loss for the put spread buyers if MSTR's price embarks on a new uptrend is limited to the initial cost of the strategy, which was $13.89 on Friday. MSTR, however, fell 7% to $369 on Friday, according to data source TradingView. MicroStrategy holds 576,230 BTC, the largest for any publicly-listed company, having steadily accumulated coins since August 2020 through debt financing. Over the years, it has emerged as a preferred instrument for institutions looking to take exposure to BTC without having to actually own the cryptocurrency. The stock price has recently diverged from the upward-trending BTC price, raising alarm bells on crypto social media. While BTC hit a record high of over $110K last week, MSTR's rise stalled at around $440, falling well short of its lifetime peak of $543 reached in November. "This trade captures the growing disconnect between Bitcoin's strength and MicroStrategy's fading momentum and volatility. Despite Bitcoin reaching all-time highs, MSTR remains significantly below its peak, suggesting investor enthusiasm is waning," Thielen said, explaining the bear put spread. Thielen correctly predicted BTC's recent rise into six figures. Note that a similar divergence between MSTR and bitcoin marked BTC's November 2021 top. Past data does not guarantee future results, and the latest divergence between MSTR and BTC does not necessarily mean that bitcoin's bull run is over. That said, its does suggest waning enthusiasm about BTC among tradfi investors. In addition, the MSTR bear put spread could offer a hedge against a potential weakness in BTC. "Bitcoin is breaking records, but Strategy is stalling—and that divergence matters. Retail is still chasing the dream, unaware that the right-tail upside may be gone. This is where the game changes: when the middleman runs out of premium and the engine stalls," Thielen said. "Buying a Strategy put spread can be profitable, but it is also an effective hedge against a long Bitcoin position," Thielen added.
Yahoo
09-04-2025
- Business
- Yahoo
Analyst warns Bitcoin could drop to $60K soon
10x Research's Markus Thielen believes Bitcoin has a $60,000 dip ahead of it. He thinks too many things in the global economy are going wrong, which is weighing on Bitcoin. One major problem is the U.S.-China tariff war right now. China's economy is experiencing declining property prices, weak company profits, and high youth unemployment. As a result, China may have to weaken its currency (the yuan) to support its economy. But if that happens, it could worsen inflation globally, which would probably drive higher interest rates. Higher interest rates can often dampen people's and businesses' ability to borrow money, which can translate to less investment in things like Bitcoin. According to Thielen, such an environment is not suitable for Bitcoin. A weakening of a currency has sometimes helped Bitcoin rise, too. This time, however, is different. Chinese investors have less disposable income and are not as engaged with crypto as they once were. There is no urgency to buy," Thielen wrote, referring to the lack of aligned monetary or fiscal support. Instead, he highlights a weakening picture of widening credit spreads, waning consumer sentiment, and intensifying global financial stress. Bitcoin is hovering around $73,000 at the moment. Below that, the next significant level would be $60,000. If it drops below $60,000, more people could panic, causing a larger sell-off. Although Bitcoin remains a strong long-term proposition, Thielen thinks it could temporarily stay under pressure. At the time of writing, Bitcoin is trading at $77,298.01, as per Kraken's price feeds. Sign in to access your portfolio
Yahoo
24-03-2025
- Business
- Yahoo
Bitcoin Pops, Ethereum Lags as Economic Data and Trump Shift Drive Sentiment
Bitcoin (BTC-USD) jumped to $87,583.60 as of 7:25 a.m. ET Monday, rising 3.43% and setting the tone for what could be a volatile week in crypto. Traders are watching a mix of signalsU.S. economic data on the way, record-low Ethereum burn rates, and Donald Trump hinting at lighter tariffs. With analysts calling time on the bear market, there's growing buzz that sentiment may finally be turning. Over the weekend, Bitcoin was holding just above $85,000. But things flipped after reports suggested April 2 tariff measures might be softer than expected. That, along with the Fed's cooler stance on inflation, pushed investors back into risk mode. Bitcoin is attempting to form a bottom, said Markus Thielen of 10x Research, noting Trump's shift on tariffs. He added that Jerome Powell's dovish tone last week helped spark optimism in both crypto and stocks. Now all eyes are on economic reportsconsumer confidence, personal spending, and PCE inflation. Nick Ruck of LVRG Research warned weak data could tighten wallets and curb appetite for speculative assets. Still, not everyone is cautious. Augustine Fan of SignalPlus thinks hard data remains solid and current price levels could appeal to long-term buyers. Meanwhile, Ethereum (ETH-USD) barely moved. Just 50 ETH was burned Sundayits lowest ever. That's a 99% drop from the 2022 peak, with users shifting to cheaper chains like Solana (SOL-USD) and Tron (TRX-USD). Some analysts believe the downturn won't last much longer. Timothy Peterson, who wrote Metcalfe's Law as a Model for Bitcoin's Value, sees the slump ending within 90 days. He expects Bitcoin to rally 2040% after April 15, which he says could draw sidelined investors back in. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
28-02-2025
- Business
- Yahoo
Crypto news live: Market shock sees Bitcoin fall to less than $80,000 with fears of more pain to come
Fears are growing among Bitcoin investors on Friday after the cryptocurrency's price fell below the $80,000 threshold. Bitcoin has now fallen by 25 per cent from its all-time high of almost $110,000 per coin, growing fears around the currency. A bad week for the virtual currency has seen $1 trillion wiped from the combined market, according to reports in Forbes. Bitcoin holders online have stated their determination to hold firm despite fears of a full-blown market crash. Crypto expert Markus Thielen commented in an email to subscribers: 'Bitcoin follows a textbook ascending broadening wedge pattern, which projects a target price in the low $70,000s.' Follow our live blog for the latest. 08:51 , Will Mata Bitcoin remains under pressure on Friday after the cryptocurrency's price fell below the $80,000 threshold. It means that the cryptocurrency has now fallen by 25 per cent from its all-time high of almost $110,000 per coin. Crypto expert Markus Thielen has said that it could fall further. In an email to subscribers, he wrote: 'Bitcoin follows a textbook ascending broadening wedge pattern, which projects a target price in the low $70,000s.'
