MicroStrategy’s Market Cap Falls Billions Below Its Bitcoin Holdings

MicroStrategy experienced a significant stock drop early Monday, causing its market capitalization to briefly fall below the net value of its Bitcoin holdings, a rare event that renewed concerns about the company's leverage and liquidity. At its low, the stock price of $156 pushed the valuation to $45 billion, while the company held 650,000 BTC valued at $55.2 billion, resulting in a net Bitcoin value of $48.4 billion after accounting for $8.2 billion in debt and $1.4 billion in cash. This sell-off compressed MicroStrategy's mNAV ratio—the premium the stock trades above its Bitcoin net asset value—to just 16%, far below earlier 2025 highs. The repricing reflects rising investor fears following Bitcoin's recent price decline and concerns over servicing the company's debt, although the stock recovered somewhat by midday, indicating investors are reassessing the risks associated with the leveraged Bitcoin strategy.

(Source：BeInCrypto)