(Refiles to say Nasdaq 100, not Nasdaq's 100, in headline) By Shashwat Chauhan Dec 12 (Reuters) - Bitcoin hoarding giant Strategy may be at risk of being removed from the Nasdaq 100 index at its annual reshuffle on Friday, amid questions over its business model that have weighed ​on its share price, some analysts flagged this week. After a sizzling rally that pushed its market capitalization to a peak of $128 billion earlier this ‌year, Strategy - which started out as software company MicroStrategy but ...

Core Viewpoint - Economist Henrik Zeberg warns that Strategy (formerly MicroStrategy) stock may face significant risks due to its heavy exposure to Bitcoin, potentially leading to a major shorting opportunity in the near future [1][2]. Group 1: Company Strategy and Performance - Strategy's executive chairman, Michael Saylor, has been a strong proponent of Bitcoin, asserting that "the only thing better than Bitcoin is more Bitcoin," which has resulted in the stock surging approximately 3,500% over the past five years, significantly outperforming Bitcoin's 905% increase during the same period [3]. - The company currently holds 601,550 BTC at an average purchase price of $66,384, indicating a continued commitment to its Bitcoin strategy despite potential risks [9]. Group 2: Market Sentiment and Short Interest - Short interest in Strategy stock has been rising, with short volume reaching 3.76 million shares on July 18, 2025, out of a total trading volume of 6.74 million, resulting in a short volume ratio of 55.7%, the highest in the past ten trading days [4][5]. - The stock has shown signs of weakness in the short term, closing down over 6% to $423.22 in the last trading session, although it has gained over 40% year-to-date [7].