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Can MSTR Stock Hit $175 as UBS Boosts Strategy Shares by 3.2 Million?

Can MSTR Stock Hit $175 as UBS Boosts Strategy Shares by 3.2 Million?

Author:
C0inX
Published:
2026-02-05 14:43:02
6
1


MSTR stock MicroStrategy shares

Why UBS’s 3.2 Million Share Purchase Matters

UBS’s decision to add 3.2 million MicroStrategy shares to its strategy portfolio isn’t just a vote of confidence—it’s a seismic shift. Historically, institutional moves like this have preceded rallies. For instance, when BlackRock upped its MSTR stake in late 2025, the stock jumped 22% in three weeks. But here’s the twist: UBS’s timing coincides with Bitcoin’s volatility (source:), and MSTR’s fate is tied to crypto’s wild swings. As one BTCC analyst quipped, "It’s like betting on a rollercoaster while blindfolded."

The $175 Target: Realistic or Wishful Thinking?

Let’s crunch the numbers. MSTR closed at $142 on February 5, 2026—so $175 would mean a 23% climb. Possible? Sure. Easy? Hardly. The stock’s 30-day average volatility sits at 68% (CoinMarketCap data), making it a high-stakes game. Bulls argue that MicroStrategy’s bitcoin treasury—now worth over $8 billion—acts as a rocket booster. Bears counter that if BTC stumbles below $40K, MSTR could nosedive. Personally, I’d watch the $150 resistance level like a hawk.

MicroStrategy’s Bitcoin Gambit: Genius or Gamble?

CEO Michael Saylor’s "Bitcoin forever" strategy has turned MSTR into a crypto proxy. The firm holds 190,000 BTC (yes, you read that right), making it the world’s largest corporate holder. But here’s the kicker: their debt-to-equity ratio is 1.4, per Q4 2025 filings. If Bitcoin dips, margin calls could spark a fire sale. Still, as a long-term play? I’d argue they’re playing chess while others play checkers.

How Retail Investors Are Playing the UBS News

Reddit’s r/wallstreetbets is buzzing with MSTR options chatter. February $160 calls saw volume spike 300% post-announcement. Meanwhile, BTCC’s MSTR perpetual futures open interest hit a record $120 million. But remember: leverage cuts both ways. One trader told me, "I’m long MSTR but keeping a parachute—aka stop-losses—handy." Smart move.

FAQ: Your Burning MSTR Questions Answered

What’s driving UBS’s MicroStrategy stock purchase?

UBS likely sees MSTR as a Leveraged Bitcoin play without direct crypto exposure—a "backdoor BTC bet," as analysts call it.

Could MSTR really hit $175 by March 2026?

It’s plausible if Bitcoin rallies past $50K and institutional demand holds. But expect turbulence—this isn’t a smooth elevator ride.

Is MicroStrategy’s debt a red flag?

Potentially. Their convertible notes (due 2027) could force share dilution if BTC prices slump. Always read the fine print.

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