MicroStrategy (MSTR) is about to join the ranks of the largest ETFs in the world after becoming the first company to make Bitcoin the focus to be included in the Nasdaq-100 index.

The Nasdaq-100 is an index that tracks the 100 largest non-financial companies listed on the Nasdaq, featuring top names like Apple, Nvidia, Microsoft, Amazon, Meta, Tesla, and Costco.

Immediately after the announcement from Nasdaq at 8 a.m. today, Vietnam time, the price of BTC rose slightly, surpassing $102,000. This announcement marks a significant turning point in the history of MicroStrategy, the leading company in Bitcoin accumulation.

On November 29, when Nasdaq performed a market snapshot in preparation for annual rebalancing, MicroStrategy's market capitalization reached approximately $92 billion. This figure ranked billionaire Michael Saylor's company at the 40th position in the Nasdaq-100, with an expected weight of about 0.47%, according to analysis by Eric Balchunas, a senior ETF expert at Bloomberg Intelligence.

In comparison, Apple – before the rebalancing – had the largest weight in the index, at nearly 9%, while Qualcomm ranked 20th with a slightly above 1% weight.

MicroStrategy's inclusion in the Nasdaq-100 will significantly increase this index's exposure to Bitcoin, an asset that the company currently holds worth approximately $42 billion. At the same time, MicroStrategy will also benefit from billions of dollars in passive investment inflows. According to Balchunas, ETFs tracking the Nasdaq-100 manage a total of over $550 billion in assets, with the largest fund being Invesco QQQ Trust (QQQ), holding over $300 billion.

"MicroStrategy's inclusion in the Nasdaq-100 could be the second biggest event of 2024, just after the launch of spot Bitcoin ETFs in the U.S.," James Van Straten, a senior analyst at CoinDesk noted. "ETFs routinely buy in every month at all price levels, adding buying pressure on MSTR shares, especially as Michael Saylor continues to raise funds through market share issuance (ATM). Although this may dilute current shareholders' interests, the number of new investors will significantly increase."

However, Mr. James Seyffart, a colleague of Balchunas, warned that MicroStrategy's presence in the Nasdaq-100 may not last. The company could be reclassified as a financial institution in March, as MicroStrategy's value is nearly entirely dependent on Bitcoin, rather than its core business operations. Previously, Michael Saylor himself had stated that he wanted to transform MicroStrategy into a 'Bitcoin bank,' moving the company further away from the definition of a technology business.

"The current game theory suggests that the SPDR S&P 500 Trust (SPY), the largest ETF with assets worth approximately $650 billion, may need to add MSTR to its portfolio to compete with rivals," Van Straten noted. "This change will provide millions of investors indirect access to Bitcoin, contributing to the market's momentum effect."

The restructuring of the Nasdaq-100, along with related ETFs like QQQ, will officially take effect on December 23.

Source: https://tapchibitcoin.io/microstrategy-gia-nhap-nasdaq-100-tiep-can-hang-ty-do-la.html