#MicroStrategyInNasdaq100

MicroStrategy Joins Nasdaq 100 as Bitcoin Price Soars

Correlation between MSTR and largest cryptocurrency has been strikingly strong

MicroStrategy (MSTR.O) will join the Nasdaq-100 Index Dec. 23, following a sixfold surge in its stock this year, driven by its aggressive Bitcoin investments. Inclusion is expected to boost the stock as ETFs tied to the index purchase shares.

The addition, announced after the market close on Friday, was anticipated by investors ahead of the index’s rebalancing.

The company, now the largest corporate holder of Bitcoin, shifted its strategy in 2020 amid challenges in its software business. Analysts predict this milestone could pave the way for future inclusion in the S&P 500 by 2025.

The Nasdaq-100 Index, which features 100 of the largest nonfinancial companies in the Nasdaq Composite, will add MicroStrategy (MSTR.O) Dec. 23. The inclusion will prompt ETFs like the Invesco QQQ Trust, managing $325 billion in assets, to purchase the stock automatically.

The list of companies included in the index includes such big names as Apple, Nvidia, Amazon, Tesla, Alphabet, T-Mobile, Adobe, Cisco, Intuit.