In my post yesterday at 17:26, I said the final MSCI list would be announced after 6 a.m. today. The results are out—and it really got kicked out. MSCI officially announced that Strategy will be removed from the MSCI USA Index at market close on November 30, and also from MSCI Global and ACWI. The reason: it’s a “non-operating company.” In plain English, its 850,000 BTC on the books are worth more than its actual business, so index funds no longer recognize it as a “company.” JPMorgan estimates passive funds will have to sell about $2.8 billion worth of MSTR. MSTR initially fell 1.5% after hours, to $120.5.
But don’t rush to say the sky is falling. Being removed from an index doesn’t force it to sell its coins. The 850,000 BTC are still on its books, untouched. The real problem is another number: it bought BTC at an average price of $75,456, and it’s now around $BTC 73,800, leaving it with an unrealized loss of about $1.4 billion. Yesterday I said its unrealized loss was $1.5 billion; today it’s about $100 million less—not because it recovered, but because BTC moved up $100.
Meanwhile, Barclays’ third-quarter 13F showed its IBIT holdings up 48%, to $187 million, while Citi opened a new $119 million position in FBTC. But to be clear, these are figures from September 30—don’t mistake them for evidence of buying the dip this week.
$BTC is still hovering around the 200-day moving average at 73,200. Overnight, it hit a high of 74,811 and a low of 73,209; the Fear & Greed Index is at 27. Tomorrow’s PPI is the next card on the table. Just my personal opinion, not financial advice.
Before November 30, will BTC first crash through 70,000 or reclaim 75,600? Pick a side in the comments.
#HotCPIDecemberHikePriced #BarclaysRaisesBlackRockBitcoinETFStake48% #BTC
But don’t rush to say the sky is falling. Being removed from an index doesn’t force it to sell its coins. The 850,000 BTC are still on its books, untouched. The real problem is another number: it bought BTC at an average price of $75,456, and it’s now around $BTC 73,800, leaving it with an unrealized loss of about $1.4 billion. Yesterday I said its unrealized loss was $1.5 billion; today it’s about $100 million less—not because it recovered, but because BTC moved up $100.
Meanwhile, Barclays’ third-quarter 13F showed its IBIT holdings up 48%, to $187 million, while Citi opened a new $119 million position in FBTC. But to be clear, these are figures from September 30—don’t mistake them for evidence of buying the dip this week.
$BTC is still hovering around the 200-day moving average at 73,200. Overnight, it hit a high of 74,811 and a low of 73,209; the Fear & Greed Index is at 27. Tomorrow’s PPI is the next card on the table. Just my personal opinion, not financial advice.
Before November 30, will BTC first crash through 70,000 or reclaim 75,600? Pick a side in the comments.
#HotCPIDecemberHikePriced #BarclaysRaisesBlackRockBitcoinETFStake48% #BTC
