According to Google Finance data, MicroStrategy's stock price closed down 8.2% on Monday, at $302.96, the lowest closing price since November 8. The stock then fell another 3% in after-hours trading to $293.59, down 46% from November's all-time high.
Despite the increase in Bitcoin purchases and its inclusion in the Nasdaq 100 index, MSTR has been declining since it reached an intraday high of $543 on November 21.
LVRG Research Director Nick Ruck pointed out that given the company's increased use of debt and equity to purchase Bitcoin, investors may have begun to view MSTR as too risky. MicroStrategy primarily funds its Bitcoin acquisitions by issuing convertible notes and bonds to investors.
Ruck said, "When a company buys more BTC, the equity of existing shareholders is diluted, but if it doesn’t, it may indicate that the company is stagnating on a key part of its value proposition, putting MSTR at risk as Bitcoin has surged significantly over the past few months while the U.S. is struggling to control inflation, and the economic outlook is uncertain with a new White House administration about to take office." (The Block)

#BTC