MSTR Stock Faces Bearish Pressure as Bitcoin Slumps and Peter Schiff Criticizes Strategy

MicroStrategy (MSTR) stock is under increasing bearish pressure as Bitcoin continues to slide to new yearly lows, fueling negative sentiment among market analysts and critics alike. The downturn in the crypto market has directly impacted MSTR shares, which are closely tied to the company’s aggressive Bitcoin treasury strategy led by Executive Chairman Michael Saylor.

Technical analysts have highlighted troubling chart patterns for MSTR stock. Chartered Market Technician Aksel Kibar pointed to a long-developing topping formation on the weekly chart, suggesting a potential continuation to the downside. According to his analysis, MSTR could fall toward the $120 level after breaking below a multi-month support zone and forming lower highs during recent price swings. Despite a modest rebound of over 2% in the latest trading session, MSTR is still trading around $146 and remains down more than 7% year-to-date, hovering near its 52-week lows.

Other analysts share a cautious outlook. Ted Pillows noted that MSTR has lost its previous monthly uptrend and is trading below key trend and momentum indicators. Benjamin Cowen added a longer-term perspective, comparing the current cycle to a prior one that took 98 weeks to bottom, implying a possible cycle low around October 2026 if history repeats. Meanwhile, trader The Great Mattsby identified a near-term technical support zone around $130, based on Fibonacci retracement levels and horizontal support.

Beyond technicals, criticism of MicroStrategy’s Bitcoin-focused strategy has resurfaced. Economist Peter Schiff recently emphasized that MSTR stock is nearly 70% below its peak, linking the decline to the firm’s massive Bitcoin accumulation. Strategy has reportedly spent over $52 billion to acquire more than 700,000 BTC at an average price above $76,000. As Bitcoin fell roughly 25% in the fourth quarter of 2025, the company reported an unrealized loss of $17.44 billion, while MSTR shares dropped 53% during the same period and are now about 66% off their all-time high.

Schiff also argued that MicroStrategy’s roughly 11% unrealized gain over five years of Bitcoin purchases underperforms what gold could have delivered. He reiterated his stance that Bitcoin lacks intrinsic value and dismissed it as a viable reserve asset, noting that central banks continue to favor gold due to its historical role as a stable store of value during economic crises.