Wall Street has found its favorite Bitcoin trade, and it isn’t buying Bitcoin. The BTC treasury boom is turning bust, with the most popular bitcoin treasury companies are down 50% over the last six months, but one group in particular has profited despite the drooping sentiment. A few months removed from the euphoria of the bitcoin treasury peak, it’s becoming clear that the banks were one of the few winners in the whole saga. Case in point: bankers have likely minted anywhere from $280-560 million from ...

Core Insights - The Florida State Board of Administration (SBA) held 241,215 shares of MicroStrategy (MSTR) in the third quarter according to the latest SEC 13F filing [1] - The estimated market value of these shares at the end of the quarter was approximately $77.7 million, while the current estimated value is around $47 million [1] Summary by Category - **Shareholding Information** - Florida SBA's holdings in MicroStrategy amounted to 241,215 shares [1] - **Market Valuation** - Estimated market value at quarter-end: $77.7 million [1] - Current estimated market value: $47 million [1]

Core Insights - Strategy has purchased $835.6 million worth of Bitcoin, marking its largest acquisition since July, bringing its total holdings to 649,870 Bitcoins valued at approximately $6.17 billion [1] - The recent Bitcoin price drop of nearly 30% since early October contrasts with previous market expectations of increased stability due to deeper Wall Street involvement and favorable White House policies [1][3] - The company's market net asset value (mNAV) has plummeted from over 2.5 to 1.2, indicating a significant decline in its valuation relative to Bitcoin holdings, which complicates the buying opportunity for institutional investors [2] Company Actions - Strategy raised €620 million (approximately $716.8 million) through the issuance of euro-denominated perpetual preferred stock, significantly exceeding its initial target of €350 million [6] - The company has shifted its funding strategy from selling common stock to issuing convertible bonds and now to preferred stock, reflecting investor concerns over equity dilution [6] Market Dynamics - The cryptocurrency market has experienced a significant downturn, with approximately $19 billion in digital asset value wiped out since early October, leading to a decline in open interest in cryptocurrency futures [7] - The demand for protective options has surged, particularly for price levels of $90,000, $85,000, and $80,000, indicating a bearish sentiment among traders [3]

Core Insights - Bitcoin has recently traded below $92,000, marking a more than 25% decline from its record high of over $126,000 reached last month, indicating a bear market [1][3][4] - The anticipated positive developments for the cryptocurrency market, including a supportive administration and regulatory changes, have not materialized as expected, leading to a downturn [2][3] - The crypto industry experienced its largest liquidation event in October, with over $19 billion in leveraged positions lost, contributing to Bitcoin's decline [4] Company Actions - Strategy (MSTR) purchased an additional 8,178 Bitcoin at an average price of approximately $102,171, totaling over $835 million, between November 10 and November 16 [5][7] - Following these purchases, Strategy's total Bitcoin holdings increased to 649,870 coins, valued at nearly $60 billion at current prices [5][6] Market Dynamics - Individual investors hold the majority of Bitcoin ownership, approximately two-thirds, which significantly influences market movements compared to funds and ETFs that own about 8% [6]

Market Overview - The US stock market experienced a collective decline, with the Dow Jones down 1.18%, Nasdaq down 0.84%, and S&P 500 down 0.92% [1] - Major tech stocks mostly fell, with AMD and Intel dropping over 2%, while Nvidia, Apple, Oracle, and Meta fell over 1%. Google, however, rose over 3% and reached a historical high [1] - Alibaba's stock increased by over 2% following the public testing of its Qwen-based app, which aims to cover various life scenarios [1] Chip and Lithium Stocks - US storage chip stocks saw gains, with SanDisk up over 4%, and Western Digital and Seagate also rising [2] - Lithium mining stocks collectively increased, with a Chilean mining company rising over 9% and an American lithium company up over 6%. Citigroup reported that the recent rise in lithium prices is driven by strong demand rather than supply disruptions [2] Speculation Warnings - Jeffrey Gundlach warned that the US stock market is experiencing dangerous speculative characteristics, suggesting investors hold about 20% of their portfolios in cash to mitigate risks of a significant market correction [3] - Gundlach noted that the current AI and data center investments exhibit clear signs of speculative overheating, which could lead to poor outcomes for momentum investors during prosperous cycles [3] Cryptocurrency Market - The cryptocurrency market is under pressure, with Bitcoin dropping below $92,000, losing 2.48% in the last 24 hours and erasing all gains for the year [4] - Trump's family has seen significant losses in their cryptocurrency investments, with related stocks and tokens dropping approximately 30% since Bitcoin's peak in October [6][7] - MicroStrategy, a major Bitcoin holding company, saw its stock price fall over 4%, with a cumulative decline of 32.69% over the past month [7]

LATEST: 📈 Michael Saylor's Strategy purchased 8,178 Bitcoin for $835.6 million last week at an average price of $102,171 per coin, bringing the company's total holdings to 649,870 BTC, worth roughly $61.7 billion. https://t.co/dwD7iW6HxB ...

Core Viewpoint - Michael Saylor's leadership has transformed Strategy (MSTR) into a Bitcoin treasury company, significantly impacting its stock price, although recent trends show a decline in share value [1][2]. Group 1: Company Transformation - Strategy has shifted from a software-focused company to a Bitcoin treasury model, which has led to a substantial increase in its share price over recent years [1]. - The company's stock has experienced a decline of approximately 34% year-to-date and over 60% from its peak one year ago [2]. Group 2: Market Dynamics - The decline in MSTR stock is attributed to calls from hedge fund managers to short the stock, as the premium between its net asset value and the actual Bitcoin value has decreased from around 2 to approximately 1.1 [3]. - Despite the stock's decline, CEO Michael Saylor continues to aggressively purchase Bitcoin, indicating a potential risk if Bitcoin prices fall significantly [5]. Group 3: Financial Strategy - Strategy's business model relies on using preferred debt and equity issuances to acquire Bitcoin, which raises concerns about its long-term debt sustainability due to a lack of growing cash flows [5].

Group 1 - The stock of Strategy has experienced a significant decline, more than that of bitcoin since its peak in early October [1] - Despite the decline in stock value, the correlation between Strategy's stock and bitcoin has actually increased [1]

Investment Activity - MicroStrategy made its largest Bitcoin purchase in over four months, investing $835 million [1] Market Trend - The Bitcoin purchase occurred as the price of Bitcoin fell [1]

Core Viewpoint - MicroStrategy and BitMine are engaged in a significant accumulation of cryptocurrencies, with MicroStrategy focusing on Bitcoin and BitMine on Ethereum, indicating a deeper strategic move in the market [1]. Group 1: MicroStrategy's Bitcoin Acquisition - MicroStrategy purchased 8,178 BTC for approximately $835.6 million, averaging $102,171 per coin, bringing its total holdings to 649,870 BTC, acquired for $48.37 billion at an average cost basis of $74,433 [2]. - The firm now controls 3.1% of the Bitcoin network, reflecting its aggressive strategy in the cryptocurrency market [3]. - The company's Bitcoin yield for 2025 is projected at 27.8%, and it currently holds $12.88 billion in unrealized profit, despite recent market fluctuations [4]. Group 2: Market Reactions and Analyst Insights - The cryptocurrency community is divided on MicroStrategy's strategy, with some analysts asserting that the company's financial structure is robust enough to withstand significant market downturns without the need for forced selling [4]. - Analysts like Miles Deutscher emphasize that even a 70% drop in Bitcoin's value would not trigger a margin call for MicroStrategy, indicating a strong financial position [4]. - Jeff Dorman highlights that concerns regarding forced selling are minimal due to low interest expenses, positive cash flow, and Michael Saylor's significant ownership stake, which mitigates activist intervention risks [5].