Bitcoin Is Falling and Crypto Stocks Are Crashing

Michael Saylor’s Strategy once traded at twice the value of its assets. Now that premium has been wiped out.

Bitcoin has tumbled into a bear market, but the real damage is in the companies that have hoarded crypto, hoping to mimic the gains of Michael Saylor’s bitcoin stock, Strategy.

Strategy is down 44% since bitcoin peaked in early October. More importantly, it is now trading slightly below the value of its bitcoin holdings. Bitcoin is down 24% from its peak and has sunk below $100,000, weighed down by a market sell-off in risky assets and long-term holders cashing out.