Strategy Anticipates Over $2.8 Billion Loss in Q4 Amid Bitcoin Crash
- Bitcoin Volatility Impact: Strategy is expected to report a loss exceeding $2.8 billion in Q4, stemming from a 24% crash in Bitcoin prices, contrasting sharply with the $2.8 billion profit from the previous quarter, highlighting the company's heavy reliance on Bitcoin and its financial vulnerability.
- Accounting Policy Change: The company altered its accounting treatment for Bitcoin in Q1 2024 to market pricing, which makes earnings far more sensitive to price fluctuations, particularly during sharp sell-offs, resulting in a significant anticipated loss.
- Increased Stock Pressure: Strategy's stock fell 48% in 2025, signaling waning investor confidence in its treasury-heavy model, while the company faced pressure to cover future dividend and interest payments, prompting it to raise cash by selling common shares on December 1 to alleviate financial strain.
- Enterprise Value Risk: Strategy's enterprise value stands at approximately $61 billion, close to the value of its Bitcoin holdings, risking a drop below this threshold for the first time in over two years, reflecting market concerns about its future profitability.
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Technical Analysis for BTC
Technical Sentiment Analysis for Bitcoin (BTC) As of , Bitcoin (BTC) is exhibiting a Sell technical sentiment. Our proprietary analysis, which aggregates 3 technical signals, shows that 0 indicators are flashing buy, while 3 are indicating sell.
Momentum Indicators: RSI, MACD & Overbought/Oversold Status Currently, the Relative Strength Index (RSI) for BTC stands at -, which suggests a Neutral condition. Meanwhile, the MACD (12, 26) indicator is at -, providing a Neutral signal for short-term momentum. Other oscillators like the Stochastic Oscillator at - and the Commodity Channel Index (CCI) at - further confirm a - outlook for the stock.
Support, Resistance & Moving Averages From a structural perspective, BTC is trading below its 60-day moving average of $- and below its 200-day long-term moving average of $-. Key price levels to watch include the immediate resistance at $- and strong support at $-. A break above $- could signal a bull continuation, while falling below $- may test the next Fibonacci floor at $-.
Bitcoin (BTC) Support & Resistance Level
| Name | S3 | S2 | S1 | Pivot Points | R1 | R2 | R3 |
|---|---|---|---|---|---|---|---|
| Classic | 36103.034 | 48051.517 | 60373.054 | 72321.537 | 84643.074 | 96591.557 | 108913.094 |
| Fibonacci | 48051.517 | 57322.665 | 63050.389 | 72321.537 | 81592.685 | 87320.409 | 96591.557 |
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