 ▲ Strategy (MSTR), Bitcoin (BTC) / ChatGPT-generated image © |
As U.S. inflation indicators show signs of stabilization and leading cryptocurrency Bitcoin (BTC) approaches the $70,000 mark, related stocks have surged across the board, sending another strong موج into the crypto market. In particular, optimistic forecasts suggesting that shares of companies tied to Bitcoin could climb as high as $1,000 have pushed investor expectations to a peak.
According to crypto media outlet CoinGape on February 14 (local time), the U.S. Consumer Price Index (CPI) fell to 2.4%, its lowest level in four years, with a modest monthly increase of 0.2%, easing concerns over inflationary pressure. The softer inflation data heightened expectations for a Federal Reserve rate cut, immediately boosting risk appetite and driving gains in Bitcoin and crypto-related stocks.
Amid Bitcoin’s rally, shares of MSTR jumped nearly 9% in after-hours trading on Friday. Coinbase surged 16.5%, while Marathon Digital and Riot Platforms rose 9% and 7%, respectively, underscoring the strong correlation among cryptocurrency-related stocks.
Market analysts have presented various scenarios for MSTR’s future price target. Analyst Kaleo noted that the current market structure resembles price movements seen between 2021 and 2022, projecting that if Bitcoin maintains its bullish trend, the stock could break its all-time high and approach $1,000. In contrast, BigBullMike offered a more conservative outlook, citing wave-based technical analysis to suggest $340 as a realistic price target.
Recent indicators cautiously suggest that MSTR shares may have reached a cyclical bottom. Analyst Ted observed that in the previous market cycle, the stock bottomed when the weekly Relative Strength Index (RSI) fell below 30 after 65 weeks. The current cycle has now entered its 66th week, with the weekly RSI dropping below 30 last week, drawing attention to the possibility of a new bottom formation. Additionally, Wayne Liang pointed to a 2,075% surge following a past monthly breakout, suggesting that another monthly breakout could be imminent.
Strategy Chairman Michael Saylor stated that he has no intention of selling Bitcoin despite unrealized losses and has raised billions of dollars in capital to continue purchasing. Meanwhile, analyst Ash Crypto said Bitcoin is forming a bullish “Adam and Eve” pattern and projected that a move above $72,000 could open the path toward $80,000. At the time of writing, Bitcoin was trading at $69,789, up 1.13% over the past 24 hours.
Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses resulting from decisions based on this content. The information should be interpreted for informational purposes only.