Michael Saylor‘s Strategy Inc. (NASDAQ:MSTR), formerly MicroStrategy, is experiencing a severe divergence between its technical market indicators and Wall Street sentiment. While the stock’s momentum score recently plummeted to a 4.72 percentile week-on-week, Benchmark remains aggressively bullish.
Bearish Technicals And Rare Bitcoin Sale
The recent technical breakdown follows Strategy’s disclosure that it sold 32 Bitcoin (CRYPTO: BTC) for roughly $2.5 million to fund preferred stock dividend obligations.
According to Benzinga Edge Stock Rankings, MSTR‘s momentum score—a composite metric evaluating relative strength and price movement patterns against other equities—has sunk to just 4.72. Additionally, the stock’s price trend indicators are flashing negative across short, medium, and long-term timeframes.
Analyst Defends The Bull Thesis
The firm recently reiterated its “Buy” rating on MSTR, maintaining a $570 price target that suggests a projected upside of over 318.87% from current trading levels.
Despite the technical deterioration and vocal critics, Benchmark dismissed the market’s recent panic. Analysts labeled the negative market reaction to the “symbolic sale of a modest number of bitcoins” as puzzling and a clear “overreaction.”
Benchmark’s $570 target relies on a sum-of-the-parts valuation projected out to year-end 2026. This analysis applies a 7x multiple to the company’s estimated Bitcoin gains while also factoring in the value of its core software business.
Crucially, the firm noted that management had spent weeks explicitly preparing investors for the possibility of this exact asset sale.
MSTR Stock Tumbles In 2026
MSTR shares have fallen 10.44% year-to-date and 24.95% in the six months. Meanwhile, the Nasdaq 100 index was up 21.64% YTD.
Over the last year, MSTR has declined 23.19%, and it has traded in a 52-week range of $134.11 to $142.79. The stock was higher by 0.28% in premarket on Wednesday.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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