CoinDesk marketing department editor Stephen Alpher stated in an article yesterday (30th) that MicroStrategy's stock price has continued to decline after being included in the NASDAQ 100 index. The virtuous cycle of 'issuing bonds + selling stocks – buying Bitcoin' is likely to have been broken, and multiple signals may already suggest that MicroStrategy's stock price has formed a temporary peak. (Background: MicroStrategy held a special shareholder meeting to promote the issuance of additional shares to raise $42 billion for buying BTC in the next three years) (Context: The strongest salesperson) MicroStrategy's Michael Saylor suggested that Amazon CEO Bezos purchase $600 million in Bitcoin. The Bitcoin holding giant among US listed companies, MicroStrategy, transformed from an obscure software development company into one of the most well-known companies in the world by relying on Bitcoin investments, with its stock price skyrocketing over 20 times in the past five years and a market capitalization exceeding $74 billion. However, after MicroStrategy successfully became the first Bitcoin company to join the NASDAQ 100 index on December 23, its stock price failed to maintain its upward momentum and instead declined. Last night (30th), US stocks closed at $302.96, a drop of 8.19%, and a significant pullback of 20.34% in nearly a month. Analysts: The virtuous cycle of MicroStrategy may have been broken. As a crazy Bitcoin bull, MicroStrategy not only did not sell Bitcoin for profit during this year's bull market but also continued to issue convertible bonds and sell stocks to raise funds to increase its Bitcoin holdings. Just this year, MicroStrategy has already spent $22 billion to purchase 257,250 Bitcoins, and its current holding has reached 446,400 Bitcoins, with a total acquisition cost of up to $27.9 billion. In this regard, CoinDesk's marketing department editor Stephen Alpher stated yesterday (30th) in an article that after MicroStrategy was included in the NASDAQ 100 index, its stock price has continued to decline, and the virtuous cycle of 'issuing bonds + selling stocks – buying Bitcoin' is likely to have been broken, with multiple signals possibly indicating that MicroStrategy's stock price has already formed a temporary peak: Soros' theory of reflexivity explains the interaction between investors and financial markets: due to increased earnings, investors believe stock prices will rise – stock prices rise – rising stock prices make it easier for companies to raise funds – this further increases earnings – stock prices continue to be pushed higher... however, if something cannot continue forever, it will stop. MicroStrategy's stock price reached an all-time high in November but has since declined by 30% after being included in the NASDAQ 100 index in December, dropping nearly half from the November peak. Currently, signs that MicroStrategy has formed a temporary peak are everywhere: . The stock price has increased dozens of times since the company started investing in Bitcoin in August 2020. . Founder Michael Saylor is constantly promoting Bitcoin. . MicroStrategy continues to emphasize its Bitcoin yields, reminiscent of the internet bubble of the late 1990s. . More and more imitators of MicroStrategy are emerging. Will MicroStrategy rebound? Although MicroStrategy's stock price has recently experienced a significant pullback, so far this year, its stock price still presents a satisfactory return of 357% to investors. Meanwhile, some analysts point out that the current decline of MicroStrategy is not unrelated to the pullback of Bitcoin that began on the 17th of this month. As Bitcoin rebounds next year and reaches new all-time highs, MicroStrategy's stock price is expected to continue to recover, potentially even setting new all-time highs. Additionally, other bullish analysts have noted that MicroStrategy's stock price has experienced three similar pullbacks in the past three years, but ultimately rebounded and continued to rise, so there is no need for excessive concern. Further reading: Analysts: MicroStrategy's leverage is lower than you think; Bitcoin needs to drop 80% to trigger debt warnings. Related reports: Buy again! MicroStrategy spent another $1.5 billion to increase its Bitcoin holdings, surpassing 400,000 BTC. Missing out on MicroStrategy (MSTR), my reflections and cognitive upgrades. Rich Dad predicts Bitcoin will reach $13 million! Supports Michael Saylor's prediction: MicroStrategy is right. "MicroStrategy's stock fell 20% in December) Analysts: 'Issuing bonds to buy Bitcoin' virtuous cycle may be broken, and a temporary peak may have already formed." This article was first published on BlockTempo (the most influential blockchain news media).

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