Bitcoin’s Wild Ride: Is It Leaving Strategy Behind? 🚀💸

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In the unfolding drama of our times, Bitcoin (BTCUSD) has, over the past weeks, taken a bold leap away from the stock market, reaching heights previously unimagined, while the venerable US indexes remain mired in their own mediocrity. One must ponder: is Bitcoin now also shedding its ties to the shares of Strategy (MSTR)? The whispers of high timeframe technical signals suggest that these two once inseparable entities may be charting divergent paths.

Saylor’s Bitcoin 2025 Conference Blunder

Ah, the Bitcoin 2025 conference in the glittering oasis of Las Vegas! Here, the illustrious Michael Saylor, the self-proclaimed champion of Bitcoin and the face of Strategy (formerly MicroStrategy), delivered a shocking proclamation that left the audience gasping. He denounced the notion of “proof of reserves,” likening it to the reckless act of “publishing your kids’ bank account” for all to see. Such candor! He warned of potential hacks and calamities, boldly declaring it a “bad idea.”

Such remarks are a stark departure from his usual Bitcoin-boosting rhetoric, leading the cryptocurrency community to question the veracity of the company’s claims regarding its BTC holdings. One can almost hear the collective gasp of disbelief echoing through the digital corridors!

In a recent acquisition, the company procured 4,020 BTC at the princely sum of $106,237 per coin, swelling its coffers to a staggering 580,250 BTC, with an average cost of $69,979. This places Strategy among the elite holders of BTC, trailing only behind the enigmatic Satoshi Nakamoto and the formidable BlackRock’s IBIT ETF. Quite the company to keep, wouldn’t you say?

Proof-of-Risky Strategy

In the lead-up to this fateful conference, Saylor was heralded as the hero Bitcoin so desperately needed, swooping in to buy BTC at pivotal moments, propping up its price like a gallant knight. Yet, as the dust settled and videos of his remarks circulated, the tide of sentiment turned against him and his company. A headline from the March 2000 edition of the Daily News resurfaced, proclaiming, “Lost $6B in a day: Hotshot tech CEO loses fortune as his company’s stock plunges 140 points.” Oh, the irony! The very man who once basked in the glow of success now finds himself the poster child for financial folly, as MSTR shares plummeted by a staggering 99% during the dot-com bubble.

A Correlation on the Cusp of Decoupling

As fate would have it, the fortunes of Strategy have been inextricably linked to the trajectory of Bitcoin’s price. The monthly Correlation Coefficient stands at a robust 0.83, indicating a strong bond between BTCUSD and MSTR. Yet, the winds of change are stirring; technical signals that once mirrored each other are now beginning to diverge, hinting at a potential decoupling.

Observe the monthly LMACD, a harbinger of momentum! On the left, MSTR reveals a bearish crossover, while on the right, Bitcoin displays a burgeoning bullish momentum. Should MSTR falter and Bitcoin soar, we may witness the long-anticipated decoupling event unfold before our very eyes.

Yet, let us not forget the possibility that these two assets may remain entwined, with MSTR’s bearish momentum spilling over into Bitcoin, dragging it down into the depths of despair. Ah, the drama of the markets! 🎭

https://x.com/TonyTheBullCMT/status/1927717056754934251

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2025-05-28 17:43