According to the "Big Short" form of investment research company Fintel, as of June 6, the micro strategy had 18 short positions with a total value of US$6.9 billion. The table, compiled from information disclosed by institutions to the U.S. Securities and Exchange Commission (SEC), reveals the institutions' largest short positions. In the compiled list, the largest short position is approximately US$2.4 billion, ranking 27th in the overall list.
Although some investment institutions predict that the stock prices of micro-strategy companies will fall and invest accordingly, confidence in this prediction is actually declining. This can be seen in the significant decline in the "short ratio" of the company's stock.
The short ratio, which measures the average number of days a stock is held short, has fallen from 3.1 days to 1.5 days over the past six months. This shows that investors who have shorted the stock have held their positions for a shorter period of time, indicating that they are no longer so firm in their expectations for further declines in the stock price.
Although the list does not specifically disclose the names of short-selling institutions, some institutions have previously publicly stated that they will short micro-strategies. According to previous reports by Zombit, short-selling agency Kerrisdale Capital said in March this year that MicroStrategy’s stocks were overvalued, and the company currently holds short positions in MicroStrategy and also holds Bitcoin in BlackRock and Fidelity. Long positions in spot ETFs to hedge upside risks.
Kerrisdale Capital's logic is that with the approval of several Bitcoin spot ETFs this year, investors have little reason to gain exposure to Bitcoin by trading Weibo stocks.
“Gone are the days when micro-strategy stocks represented a rare, unique way to acquire Bitcoin. Now, through brokerage firms, cryptocurrency exchanges, and more recently, low-fee ETPs and ETFs, Bitcoin has become It’s easy to get.”
In addition, during the rise of Bitcoin, the stock price of MicroStrategy rose much faster than Bitcoin, resulting in a premium for MicroStrategy relative to Bitcoin, which attracted many institutions to start operating this "MicroStrategy Stock (MSTR) vs. Bitcoin" spread trading”.
This article Institutions bet on 6.9 billion magnesium shorting micro strategy! The stock price is still strong, will the Air Force waver? First appeared in Zombit.
