Strategy’s (MSTR) stock has dropped over the past six months, with the crypto-focused stock plunging 64% in that span. Fortunately, the shares have found a lower resistance just over $100, prohibiting further losses. Bitcoin (BTC) currently sits just above $70,000 and is looking for a spark to flip its 22% dropoff in a single month. As Strategy is tied to millions worth of the digital asset, its stock has also plummeted hand-in-hand with BTC.

Analysts do suggest that the recent BTC collapse is only temporary, and can rebound to fuel MSTR higher as well. “The current Bitcoin price action is a mere crisis of confidence. Nothing broke, no skeletons will show up,” Bernstein analyst Gautam Chhugani said in a note on Monday morning. “In an AI world, Bitcoin and crypto are not interesting enough,” Chhugani said, adding that the “Bitcoin bear case is the weakest in its history.”

Additionally, Strategy (MSTR) continues to buy in on Bitcoin’s low period, recently accumulating another $264 million in BTC. The Michael Saylor-established firm now holds 712,647 BTC valued at approximately $63 billion. With Bitcoin’s slow start to 2026, Strategy has taken advantage of the lower prices, anticipating that the leading digital asset will inevitably spark back above $100,000.

Furthermore, analysts express concerns regarding MicroStrategy’s sustainability as its Bitcoin accumulation strategy increases reliance on capital markets, potentially eroding shareholder value. Crypto bills and regulatory decisions in the US have helped crypto stocks like MSTR and Coinbase (COIN) in recent months. Should new bills favoring crypto be passed by the US Government, cryptocurrencies like BTC and ETH could rally, which would in turn send Strategy (MSTR) and other crypto stocks higher too. However, right now, the rest of 2026 looks bleak.