MicroStrategy’s premium to its BTC stash is unsustainable, according to a research report by Steno Research. The new provision for options on spot bitcoin ETFs will lessen demand for MSTR stock meaning the 300% premium will not last, the report said, adding that during the 2021 bull market, it was below 200% most of the time. MicroStrategy’s recent 10:1 stock split’s positive effects are also diminishing, analyst Mads Eberhardt wrote. As regulators become more favorable to bitcoin and crypto in general, investors may choose to hold bitcoin directly instead of MicroStrategy stock, according to the report. If Donald Trump is re-elected as president, this regulatory trend is expected to continue.
