Strategy’s common stock (MSTR) and preferred shares (STRC) both cratered to fresh 52-week lows on Wednesday. MSTR dropped 9.4% to $94.13, touching an intraday low of $92.28, far from its high of $457.22. STRC fell 7.4% to $80.84, sliding below its $100 par value.
The selloff came as Bitcoin briefly traded under $59,200 before rebounding to $61,000 after Micron Technology’s strong earnings beat lifted broader markets. Michael Saylor’s leveraged treasury model faces a deepening stress test: falling equity prices squeeze his ability to raise cash or buy more Bitcoin, though the company holds roughly 10 months of debt coverage. Some analysts warn that deep-pocketed Bitcoin bulls may be trying to force a liquidation of MicroStrategy’s holdings.
In another corner of the crypto economy, prediction market platform Kalshi is in talks to raise funds at a $40 billion valuation, nearly double its $22 billion price tag from April. Trading volume surpassed $17 billion last month, driven 65% by sports contracts, and is on pace to exceed $25 billion in June. Kalshi has already cleared over $5 billion in World Cup-related volume. The platform’s fee income has surged to $180 million this month, putting its annual run rate above $800 million.
Coinbase CEO Brian Armstrong also signaled that more acquisitions are possible after its recent $2.9 billion Deribit deal, focusing on international targets to accelerate product growth.