📈 SigmaTrader Blog

 MicroStrategy (MSTR) has become one of the most leveraged macro bets of our generation. Not through derivatives like LTCM in 1998, but through a simple conviction: “Bitcoin is the ultimate asset, and MicroStrategy will buy as much as possible.” ⚡️ Today, MSTR owns more than 650,000 BTC , but its real cost basis is now around $74k–$75k after continuous purchases funded by stock issuance and convertible debt. Meanwhile, Bitcoin is correcting 📉, and MSTR is down more than 60% with no clear bottom . This raises a powerful question: Is there a scenario where MSTR gets pushed into a liquidation — similar to how LTCM was forced to unwind during a fat-tail event? Let’s break it down. 👇 ⚖️ LTCM vs. MSTR: Two Completely Different Leverage Profiles 📉 LTCM (1998) 25x–50x leverage on tiny spreads Relied on “stable” historical correlations 🧮 Daily margin calls When spreads blew out, they needed collateral immediately Forced fire-sale liquidation within hours ...

Bitcoin at a Critical Juncture: Will It Follow Gold to New Highs? Bitcoin ($BTC) is currently approaching a major inflection point on the weekly chart. Technical indicators such as Money Flow and RSI are signaling strength, and it appears that the long-standing downtrend may be coming to an end. The big question is: Will BTC break out and follow in Gold’s footsteps as a “digital gold,” pushing toward a new all-time high (ATH)? No one can predict the future with certainty, but the odds favor a significant move if this breakout occurs. Despite recent weakness in the Nasdaq, Bitcoin has shown impressive resilience, which could be a bullish sign. However, if BTC fails to break out in the coming week, a drop to the $55K area is possible. This level aligns with strong historical support and the weekly 200 SMA — a level that many technical traders will be watching closely. So, What Can We Do? This is not financial advice , but from a long-term investor's perspective, we believe it m...