Analysts Predict MSTR Stock Decline Amid Bitcoin Strategy Critique
Bearish Outlook for MSTR Stock Amid Bitcoin Volatility
MSTR stock is currently under scrutiny as market analysts anticipate further declines. This sentiment is fueled by Bitcoin's recent plunge to new annual lows and ongoing criticism from economist Peter Schiff regarding Michael Saylor's Bitcoin-focused strategy.
Technical Analysis Indicates Potential Decline
Chartered Market Technician Aksel Kibar has identified a prolonged topping pattern in MSTR's weekly chart, forecasting a continued downward trend possibly reaching $120. The stock has recently breached a significant support level, with lower highs marking recent swings. Currently trading at approximately $146, MSTR has rebounded slightly from a 52-week low but remains down over 7% year-to-date.
Additionally, Ted Pillows noted that MSTR has lost its previous upward momentum, trading below critical trend indicators. Analyst Benjamin Cowen suggested a potential cycle low by October 2026, drawing parallels with previous market cycles.
Trader The Great Mattsby identified a technical interest zone around $130, based on Fibonacci retracement and support lines.
Criticism of Bitcoin Strategy
In a recent post, Peter Schiff criticized MSTR's Bitcoin treasury model, highlighting the stock's significant drop from its peak. He argued that the firm's investment in Bitcoin, averaging over $76,000 per BTC, led to substantial unrealized losses, questioning the long-term value of this strategy compared to gold. Schiff emphasized that central banks prefer gold as a reserve, citing its stability and value retention during crises.