MSTR Bulls Eye $225 as Bitcoin Momentum Ignites Rally
MicroStrategy's stock (MSTR) has experienced a significant reversal in the past month after shedding nearly 50% of its value year-over-year. The company's fortunes have changed with the surge in Bitcoin prices, which has flipped MicroStrategy's massive unrealized loss into an estimated $9 billion gain.
The catalyst for this turnaround is the company's acquisition of 950 BTC during the week of September 14-20, funded from existing cash. This brings total holdings to 846,000 BTC with a total cost basis of $63.80 billion, or roughly $75,416 per coin.
However, MicroStrategy's stock is currently trading at an overbought level, with the RSI reading above 71. The price is also pressing against multi-week resistance at $172, making it uncertain whether this is a genuine breakout or an exhaustion pop.