Citing Coindesk, Wall Street broker Benchmark dismissed concerns over the solvency of bitcoin treasury company Strategy (MSTR) following a recent price pullback in Bitcoin. In a report, analyst Mark Palmer argued that critics are conflating short-term volatility with real financial risk, noting that Strategy's balance sheet is structured to maximize Bitcoin leverage. With 649,870 BTC ($55.8 billion) and $8.2 billion in ultra-low-cost convertibles, the firm's obligations are deemed manageable. Benchmark reiterated a buy rating on Strategy shares with a $705 price target, based on a 2026 Bitcoin price assumption of $225,000. Strategy also announced the formation of a $1.44 billion U.S. dollar reserve to fund at least 12 months of dividends.
Benchmark Defends Strategy Amid Bitcoin Price Drop, Calls Criticism 'Noise'
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