MSTR Oversold Right Now? These Metrics Say Yes

Strategy's MSTR stock price hit the lower bound of its historic channel while Bitcoin (BTC) holding premium metric dropped to pre-bull run levels, CryptoQuant CEO Ki Young Ju noticed. Meanwhile, Strategy keeps "buying the deep" as Bitcoin (BTC) remains under $84,500.

MSTR stock price looks too low to CryptoQuant CEO

Strategy's (formerly MicroStrategy) stock MSTR is undervalued at the current price of $255.58. Based on a logarithmic scale, this roughly equals the bottom of the normal price-to-BTC holdings metric range. As CryptoQuant CEO Ki Young Ju mentioned on X, the indicator has been sitting within the channel for almost four years.

Amid increased panic on cryptocurrency markets, MSTR stock lost over 25% of its capitalization in just one month. On Nov. 20, 2024, it peaked over $473, setting an all-time high.

Also, Ki Young Ju noticed interesting dynamics of Bitcoin Holdings Premium (also premium to net asset value —NAV). This indicator mirrors the value of total stocks capitalization to the price of net Bitcoin (BTC) holdings reported by Strategy.

The crucial metric — it shows whether the ETF or stock looks oversold compared to the underlying asset — is back to levels unseen since January 2024.

As such, MSTR economics key indicators hit the lowest levels of this bull run.

500,000 Bitcoins (BTC): Strategy targets massive milestone

Strategy stock MSTR is utilized by investors as one of the mediums that allows them to get exposed to investing in BTC without holding the asset directly. Michael Saylor's firm is the largest corporate holder of Bitcoin (BTC) and the flagship entity of institutional BTC mania.

As of press time, Strategy is holding 499,096 Bitcoins (BTC) with total value exceeding $42.15 billion. At current prices, the firm demonstrates a positive 27.15% PnL.

As such, Strategy (MSTR) controls a whopping 2.377% of the total Bitcoin (BTC) supply capped at 21 million BTC. The closest competitor, Mara Holding Inc. (MARA) is responsible for 45,659 Bitcoins (BTC) or 0.217% of all existing Bitcoins (BTC).