Derived from Coindesk, Strategy (MSTR) shares fell 12.5% to a 15-month low on Monday amid a bitcoin price crash and a $1.44 billion stock sale to fund preferred dividends. Despite bitcoin remaining near session lows, MSTR shares recovered most of their losses, closing down just 3.25%. The company announced it had sold common stock to raise cash for the next 21 months of preferred dividends, a move that triggered heavy selling from investors concerned about dilution. Analyst Peter Schiff criticized the strategy, calling it a 'fraud' and predicting the 'beginning of the end' for MSTR. However, some investors remain cautious, noting Schiff's history of premature bearish calls.
Strategy Shares Rebound After 12.5% Drop Amid Bitcoin Crash and Capital Raise
CoinDeskShare
Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information.
Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.