MSTR Defies Crypto-Stock Slump As Gold And Silver Hit Record Highs

Strategy rose as crypto stocks slid, gold and silver hit records, liquidations jumped, yet analysts still see long-term upside for Bitcoin.

• Strategy broke from the crypto-equity dump to nudge up 1% at $163.11, but Coinbase, Circle, and BitMine all closed lower on Friday.
• This comes as gold and silver have hit record highs on Friday, as the broader crypto markets saw $311.46 million in liquidation.
• Certain analysts still believe in Bitcoin, with Quinten François noting that BTC is “deeply undervalued against gold” [over the] long term, and Mark Chadwick stating that breakouts from gold precede strong moves in Bitcoin and altcoins.

On Friday, Michael Saylor’s Strategy (MSTR) bucked the trend of crypto-related stocks tanking, despite the rally in precious metals.

Silver upticked over 4% on the Friday session while spot silver (XAG) reached record highs at $​​102.9 per ounce. Similarly, gold also hit record levels at $4982 per ounce, as investors moved to traditional hedges rather than risk assets like cryptocurrencies. 

On the equity side, Coinbase Global (COIN) closed at $216.95, down 2.77% for the day, while Circle Internet Group (CRCL) dipped 0.03% to close at $71.33. On Stocktwits, retail sentiment around Coinbase improved from ‘bearish’ to ‘neutral’ territory, while chatter around it improved from ‘normal' to ‘high’ levels over the past day. However, retail sentiment for Circle remained in ‘bearish’ territory, as chatter levels remained at ‘normal’ levels over the past day. 

Ethereum-giant BitMine Immersion Technologies (BMNR) dropped 0.35% to close at $28.80. On Stocktwits, retail sentiment around BMNR remained in ‘bearish’ territory, with ‘low’ chatter levels over the past day. 

However, the winner among major crypto equities was Strategy (MSTR) , which rose over 1% to $163.11, defying the trend. On Stocktwits, retail sentiment did not catch up, remaining in the  ‘bearish’ territory, as chatter also remained in ‘low’ levels over the past day.

Crypto Tokens Remain Under Pressure

Other than weakness in equities, with $311.46 million of crypto markets getting liquidated, up 57.8% from the prior day. 

Bitcoin (BTC) was trading around $89,777, flat over the previous 24 hours, with approximately $108.16 million in liquidations. Among them, $22.79 million longs were wiped out versus $85.37 million shorts, suggesting bears are still applying pressure to short-sellers. On Stocktwits, retail sentiment around Bitcoin remained in ‘bearish’ territory, as chatter levels remained at ‘normal’ over the past day. 

Ethereum (ETH) was trading near $2,964, up 0.2% over the last day, with total liquidations at around $92.87 million, accounting for $32.54 million longs and $60.33 million shorts. On Stocktwits, retail sentiment around Ethereum remained in ‘bearish’ territory, as chatter levels remained at ‘normal’ over the past day. 

Solana (SOL) traded around $127.8, seeing about 13.68 million liquidated in the last 24 hours, with both longs at $5.76 million and shorts at $7.92 million. On Stocktwits, retail sentiment around Solana remained in ‘extremely bearish’ territory, with chatter levels improving from ‘low’ to ‘normal’ over the past day. 

Bitcoin ‘Deeply Undervalued’ Versus Gold

Analysts say the precious metals surge could turn out to be favorable for Bitcoin. According to Quinten François, Bitcoin has “never been this undervalued against gold” when looking at the long term, and the current price structure is a rare chance for those thinking about the long haul, according to the CoinCompass analyst. There are also price dynamics at play, with gold historically serving as a leading indicator of crypto rallies: past gold breakouts have led to massive Bitcoin spikes and better-than-usual performance from altcoins, noted market analyst Mark Chadwick.

Read also: Bitcoin Slides Toward Full-Cycle Washout Last Seen During 2022 Bear Market

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