BTIG: Bitcoin Halving Will Be a Positive Catalyst.

Iti9

According to the information obtained by Smart Finance and Economics, BTIG analyst Andrew Harte stated that MicroStrategy (MSTR.US) stock has risen by nearly 130% so far this year, driven by the surge in Bitcoin prices. The analyst believes that as Bitcoin continues to rise, there is further room for MicroStrategy's stock price to climb. He reiterated a "buy" rating on the stock and raised the target price to $1800, implying a potential 10% upside for the stock. The average target price from four analysts tracked by the media is $1999.99, matching the intraday record high set by the stock in March.

As of March 18th, MicroStrategy holds over 214,000 Bitcoins. Analysts stated in a report that the premium investors are willing to pay for the company's Bitcoin exposure has reached "more than double the new norm." The analyst stated, "We expect the company to benefit from Bitcoin as a catalyst over the next year, especially with the Bitcoin halving event expected to occur this month." The highly anticipated Bitcoin halving event means a reduction in Bitcoin's supply, and previous halving events have pushed Bitcoin prices higher.

The analyst believes that the potential Bitcoin halving event in April could be a positive catalyst for both Bitcoin itself and MicroStrategy's stock price at present. He said, "After the previous three halving events, Bitcoin's price increased by 80 times, 4 times, and 6 times in the following year, respectively." "Therefore, we believe that investors will see Bitcoin as a hedge against inflation, and institutional investors will continue to embrace Bitcoin."

Bitcoin has risen by over 50% so far this year. While this has driven MicroStrategy's stock price higher, it has also hindered the company's strategy to raise funds to purchase more digital assets. Additionally, the close connection between the stock and a cryptocurrency remains highly risky. Although the stock's increase this year has exceeded that of Bitcoin, it will suffer more if Bitcoin declines.

The analyst further elaborated on the upside and downside scenarios for MicroStrategy. He estimated that if the premium shrinks and regulatory pressure hits the cryptocurrency market, Bitcoin could fall to $48,000, and the stock price could drop to $700. However, the analyst added that in a bullish scenario, Bitcoin is expected to soar to over $90,000, and the stock price could rise to $2700.

Jafar224

There's definitely room for growth.

Isha000

That has always had a lot of room.

Ritu77

The halving of Bitcoin seems to have a significant impact.