Shares of Strategy ($MSTR) have plummeted over 20% within just five days as Bitcoin’s value nosedives to $72,000.
The recent sell-off in Bitcoin has significantly impacted the shares of Strategy ($MSTR), highlighting the strong link between this major corporate holder and the fluctuations in cryptocurrency prices.
Bitcoin has dropped towards $72,000, marking a decline not witnessed since late 2024. During today’s trading session, MSTR shares fell approximately 9%, reaching intraday lows around $121.19.
Currently, the stock is down about 15% year-to-date and an astonishing 72% from its peak in November 2024.
The decline in Bitcoin — now resting near $72,000 and far from its multi-year highs achieved in early 2025 — has had a cascading effect on the entire cryptocurrency market.
As market sentiment turns negative and traders focus on potential support levels around mid-$60,000s for Bitcoin, risk assets are experiencing a notable downturn.
Market analysts have expressed views ranging from cautious to outright pessimistic regarding future price movements if demand does not stabilize soon.
An Analyst Cuts MSTR Price Target by Nearly Two-Thirds
This week brought significant news as Canaccord Genuity analyst Joseph Vafi — once seen as one of MSTR’s staunchest advocates — drastically reduced his price target from $474 to $185. This represents a staggering cut of about 61%, although he continues to maintain a Buy rating for the stock.
Vafi’s updated forecast suggests that even with this lower target there remains “considerable upside” potential if volatility decreases and Bitcoin establishes a solid bottom level for trading purposes.
This maintained optimism despite such drastic cuts underscores a more nuanced perspective among certain Wall Street analysts: even amid severe declines, MSTR’s substantial discount relative to its theoretical net asset value could lead to an eventual upward revaluation.
MSTR Continues Its Acquisition of Bitcoin
This week saw Strategy announce it had acquired an additional 855 bitcoins at approximately $75.3 million—averaging out at about $87,974 per $BTC, according to their filing on Monday.
This purchase occurred shortly before bitcoin dipped below the critical threshold of $75,000 due to rapid selling pressures over that weekend—briefly bringing Strategy’s treasury close to realizing nearly $1 billion in losses. Presently though, bitcoin trades below those figures at around $72,000.
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The company now possesses **713**,502 $BTC, which were acquired for roughly **$54**.26 billion at an average cost basis of **$76**,052 per coin.
The previous week’s acquisition was entirely financed through common stock sales—a continuation of Strategy’s ongoing capital-raising strategy aimed at funding further bitcoin purchases; notably smaller than previous acquisitions made by the company.
All eyes are set on MSTR’s forthcoming fourth-quarter earnings report scheduled later this week—a document likely providing insights into their capital-raising efforts alongside their approach toward purchasing $BTC, while also addressing how they balance leverage against asset coverage.
At present writing time today sees bitcoin priced near **$72**,000—the lowest point observed over more than one year—with values having retraced more than **40**% since hitting all-time highs late last year (2025).
This article titled “Strategy ($MSTR) Shares Sink Over 20% in 5 Days as Bitcoin Crashes to $72K,” first appeared on *Bitcoin Magazine* authored by Micah Zimmerman.