Michael Saylor: Bitcoin Has Bottomed, Credit Markets Are the Next Catalyst

Michael Saylor, executive chairman of Strategy (MSTR), is confident that Bitcoin hit its cycle bottom in early February around the $60,000 price level. Speaking at a Mizuho investor event, Saylor explained that market bottoms are rarely about valuation metrics alone — they happen when sellers run out of steam. According to Saylor, trend reversals are shaped more by capital structure and liquidity dynamics than by shifts in market sentiment.

Saylor pointed to several reasons why selling pressure on Bitcoin is now significantly reduced. ETF inflows are steadily absorbing daily Bitcoin supply, and a growing number of corporations are reallocating treasury reserves into Bitcoin. Together, these forces are tightening available supply while demand continues building from institutional channels.

Looking ahead, Saylor believes the primary fuel for Bitcoin's next major bull run will come from the development of banking credit and digital credit instruments built on top of the Bitcoin network. This evolution would expand Bitcoin's role far beyond a store of value, positioning it as the foundation for lending, credit activity, and broader capital markets infrastructure.

Strategy is already moving in this direction. Saylor cited the company's STRC preferred stock — offering an 11.5% annual yield — as an early example of Bitcoin-backed digital credit. He described Strategy's broader mission as transforming Bitcoin from a non-yielding asset into a fully functioning capital markets engine, capable of supporting sophisticated financial products.

On the subject of quantum computing and its perceived threat to Bitcoin's cryptographic security, Saylor dismissed concerns as largely overstated. He argued the risk remains theoretical, is likely several decades away from being practical, and can be addressed with protocol-level solutions when the time comes.

Mizuho maintained its Outperform rating on Strategy with a $320 price target, implying roughly 150% upside potential from current trading levels around $127.