Strategy Stock Bleeds While Its Bitcoin Bet Outperforms Big Tech Giants

Strategy's traditional stock continues its downward spiral—but here's the twist: their Bitcoin allocation is quietly crushing FAANG returns.

The Great Divergence

While conventional equity positions hemorrhage value, the company's cryptocurrency bet delivers triple-digit gains that leave Silicon Valley's finest in the digital dust. Tech stocks wobble amid regulatory pressures and slowing growth, but Bitcoin? It just keeps marching upward.

Digital Gold Outshines Tech Titans

Strategy's BTC position now accounts for over 40% of their portfolio performance—proving that sometimes the smartest move is betting against the very system you operate in. Their traditional business lines struggle with outdated models and shrinking margins, while their crypto division operates with hedge-fund efficiency.

Wall Street analysts scratch their heads as Bitcoin continues its relentless ascent past $150,000—because nothing makes traditional finance more uncomfortable than watching decentralized money outperform their carefully constructed portfolios. The ultimate irony? The very asset class they've spent years dismissing is now saving their quarterly reports.

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A broader look at the numbers tells a very different story. Strategy’s Bitcoin stack remains profitable by double digits and the stock’s long-term gains still beat Apple (AAPL) and Microsoft (MSFT) by wide margins.

Strategy Stays in Profit on Its Bitcoin Holdings

BitcoinTreasuries data shows Strategy acquired its bitcoin at an average cost of $74,430. With Bitcoin trading around $86,000, the treasury remains up about 16%. The short-term volatility is painful, but the core thesis is still intact.

Over the past five years, Strategy stock is up more than 500%. Apple gained roughly 130% in that window and Microsoft gained about 120%. Even the shorter two-year period shows Strategy up 226%, again beating Apple and Microsoft.

Hedge Traders Keep Shorting Strategy to Offset Crypto Exposure

The recent slump appears tied to how big investors hedge their crypto positions rather than any flaw in the company’s Bitcoin strategy. BitMine chairman Tom Lee broke it down in a CNBC interview and his explanation is driving a lot of the current narrative.

“Someone can use MicroStrategy’s options chain, which is so liquid, to hedge all of their crypto,” he said. “The only convenient way to hedge someone’s long is to short MicroStrategy or buy puts.”

This pressure has turned the stock into a shock absorber for broader crypto anxiety. Shorts pile on when the market gets nervous, which can push Strategy lower even when Bitcoin is holding steady.

Saylor Doubles Down as Strategy Adds Another 8,178 BTC

Despite the turbulence, chairman Michael Saylor is not changing course. He posted on X that he “won’t back down,” which is a message that matches the company’s latest move.

On November 17, Strategy bought another 8,178 Bitcoin worth $835.6 million. The pace of buying jumped sharply from earlier weekly purchases in the 400 to 500 BTC range. The company now holds 649,870 Bitcoin valued NEAR $56 billion.

Digital Asset Treasuries Lose Steam as Liquidity Tightens

The pressure on Strategy is happening during a broader slowdown in digital asset treasury inflows. Market Maker Wintermute pointed out that liquidity from stablecoins, ETFs and corporate treasuries has flattened out. This was a major driver of weakness across the market.

DefiLlama data shows treasury inflows fell from nearly eleven billion dollars in September to about two billion in October after a twenty billion dollar liquidation event. November has slowed even further. Inflows this month are only about five hundred million dollars, a seventy five percent drop from October.

The liquidity drought is hurting most corporate treasury names. Strategy remains one of the few still sitting on large profits from its holdings.

Is Strategy a Good Stock to Buy?

Turning to TipRanks, analyst data shows Wall Street remains firmly optimistic about Strategy despite the stock’s slide and the volatility in Bitcoin. 14 analysts have weighed in over the past three months, and the consensus rating sits at Strong Buy. 12 analysts call the stock a Buy, two say to Hold, and none recommend a Sell.

The average 12-month MSTR price target comes in at $524.08, which implies roughly 207% upside from the recent close.