Overview
The article explores whether Strategy (ticker MSTR) would be removed from major stock indices like the Nasdaq 100 if Bitcoin USD were to reach $75,000. It argues that a specific price threshold for Bitcoin does not automatically trigger index exclusion, emphasizing that index changes depend on broader factors such as market capitalization, liquidity, and periodic provider reviews.
Key Points
- Bitcoin’s move to $75K is not a guaranteed trigger for MSTR’s removal from the Nasdaq 100. The process relies on market-cap rankings, liquidity, and review cycles rather than a single price level.
The reality is more nuanced, tied to market-cap rankings, premium collapse, and looming index-provider reviews rather than a single Bitcoin price threshold.
- MSTR remains a sizable constituent with a market cap around $51 billion, which typically keeps it above common removal thresholds (~$20-40B).
Strategy (ticker MSTR) still holds a market cap of around $51Bn.
- Recent developments show MSTR reacting to market rumors and risk events. For example, after JPMorgan warned of potential index removal, MSTR declined by over 5%, but this drop still keeps it above typical lower cutoffs.
After JPMorgan warned of potential index removal, MSTR fell by over 5%.
- Even with significant Bitcoin holdings (approximately 650,000 BTC), the total value would still be substantial but not automatically decisive in index assessments.
Strategy’s massive 650,000+ BTC trove would still be worth nearly $49Bn.
Context and Implications
The discussion reflects how investors view the relationship between a major cryptocurrency and a publicly traded strategy that is heavily exposed to BTC movements. Index providers evaluate multiple dimensions beyond price thresholds, including liquidity, free float, and continuous monitoring during periodic reviews.
Conclusion
There is no rule that a Bitcoin price move to $75K would force Strategy out of the Nasdaq 100. Any potential removal would depend on a combination of Market Cap, liquidity, and index-provider review outcomes, not solely on BTC’s value.
Author Summary
Concise: Nasdaq removal decisions hinge on comprehensive, multi-factor reviews rather than a single BTC price threshold, keeping Strategy in play despite BTC movements. 170 characters.