Persistent decline in MSTR stock contrasts with continued Bitcoin accumulation and broader market trends
Strategy (MSTR) shares fell for six consecutive months in the second half of 2025, marking the first sustained losing streak since the company began using Bitcoin as a treasury reserve in August 2020. The unusual persistence of losses highlights a significant divergence between the stock and its underlying Bitcoin holdings.
From July through December 2025, Strategy shares recorded continuous monthly declines, including 16.78% in August, 16.36% in October, 34.26% in November, and 14.24% in December. The stock closed the year at $151.95, down 49.35% over the past 12 months and 59.30% over six months, while Bitcoin held relatively steady, trading at $87,879 at the start of January. This marks a rare instance where Strategy’s equity performance has lagged both Bitcoin and the Nasdaq 100 over an extended period.
Historically, drawdowns in MSTR stock were often followed by sharp rebound months. During the 2022 crypto bear market, for example, steep declines were quickly offset by rallies exceeding 40%. The absence of a comparable rebound in late 2025 suggests a more persistent repricing of the stock rather than a temporary selloff.
Even amid the stock slump, Strategy maintained its Bitcoin accumulation strategy. On December 29, 2025, the company purchased 1,229 BTC for roughly $108.8 million, bringing total holdings to 672,497 BTC, valued at around $50.44 billion. The ongoing accumulation underscores management’s long-term commitment to Bitcoin as a strategic asset despite market volatility.
The divergence between Strategy shares and Bitcoin highlights growing sensitivity of the stock to equity market dynamics, investor sentiment, and macro factors, rather than solely Bitcoin’s price movements. Analysts suggest that the unusual streak may signal longer-term equity repricing, creating both challenges and potential opportunities for investors monitoring corporate crypto treasury performance.
This six-month losing streak emphasizes the complex interplay between corporate Bitcoin exposure and shareholder returns, serving as a cautionary tale for investors relying on crypto-backed equities for leveraged exposure to digital assets.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.