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<p>A value investor, Mike Alfred, predicts that MicroStrategy, the public business intelligence company, will suffer once a spot in the Bitcoin ETF is approved in the United States. In a post on X, Alfred also <a class="editor-rtfLink" href="https://twitter.com/mikealfred/status/1744411178284306653" target="_blank" rel="noopener nofollow">noted</a>&nbsp;that MicroStrategy is down 5% and is trading as “if the market expects the spot ETFs to be approved soon.”</p> 
<h2 id="microstrategy-s-premium-will-fall-mstr-prices-will-drop">MicroStrategy’s Premium Will Fall, MSTR Prices Will Drop</h2> 
<p>Despite the expected reduction in MicroStrategy’s premium, Alfred believes its stock price, currently trading at around $600, may recover steadily in the next bull run.&nbsp;</p> 
<p>Looking at the MSTR stock in the daily chart, prices appear to be topping out. Share prices rose to as high as $717 in the first week of January before dropping 16% to spot rates. The sell-off continues when writing with critical primary support at the $475 and $500 zone.</p> <a href="https://www.tradingview.com/x/FNr8Ehtx/" rel="nofollow noopener" target="_blank"><img loading="lazy" decoding="async" class="size-full" src="https://www.tradingview.com/x/FNr8Ehtx/" alt="MSTR share price trending downward on the daily chart| Source: MSTR on NASDAQ, TradingView" width="1233" height="592"></a> 
<p>Analysts now say a regulated spot Bitcoin ETF will see more institutions opting for this product instead of shadowing Bitcoin via the MSTR stock.&nbsp; As a result, the demand for MSTR shares will likely contract. </p> 
<p>For this reason, the MSTR sell-off might continue in the short term. However, as Alfred predicts, share prices will recover in later stages and rally to $1,500.</p> 
<h2 id="will-a-spot-bitcoin-etf-lift-btc-to-100-000">Will A Spot Bitcoin ETF Lift BTC To $100,000?</h2> 
<p>Alfred continued that the MSTR recovery will come as Bitcoin floats to set record highs above $100,000. So far, as the community closely monitors the United States Securities and Exchange Commission (SEC) and whether it will approve the first <a href="https://bitcoinist.com/blackrock-undercut-lower-spot-bitcoin-etf-fees/" target="_blank" rel="noopener ">spot Bitcoin ETF</a>, BTC prices are firm, reaching $47,200 on January 8.&nbsp;</p> 
<p>Bitcoin bulls believe prices may rally to as high as $69,000, last registered in November 2021, once the coveted derivative product hits the market.</p> 
<p>Despite the MSTR price falling, some are confident that buying the stock is a better alternative to a spot Bitcoin ETF. MicroStrategy has indirectly and actively increased shareholders’ exposure to Bitcoin through its accumulation strategy. All this is without charging a management fee, benefiting clients, including institutions, who considered the MSTR stock a “shadow spot Bitcoin ETF.”&nbsp;</p> 
<img loading="lazy" decoding="async" class="size-full wp-image-273465" src="https://bitcoinist.com/wp-content/uploads/2024/01/Screenshot495.png?resize=1024%2C423" alt="Bitcoin held by MicroStrategy | Source: Bitcoin Treasuries" width="1024" height="423" srcset="https://bitcoinist.com/wp-content/uploads/2024/01/Screenshot495.png?resize=1024%2C423?w=1118 1118w, https://bitcoinist.com/wp-content/uploads/2024/01/Screenshot495.png?resize=1024%2C423?w=640 640w, https://bitcoinist.com/wp-content/uploads/2024/01/Screenshot495.png?resize=1024%2C423?w=768 768w, https://bitcoinist.com/wp-content/uploads/2024/01/Screenshot495.png?resize=1024%2C423?w=980 980w, https://bitcoinist.com/wp-content/uploads/2024/01/Screenshot495.png?resize=1024%2C423?w=750 750w" sizes="(max-width: 1000px) 100vw, 1000px" data-recalc-dims="1"> 
<p>To illustrate, Bitcoin Treasuries&nbsp;<a class="editor-rtfLink" href="https://buybitcoinworldwide.com/treasuries/" target="_blank" rel="noopener nofollow">data</a> on January 9 reveals that MicroStrategy holds 189,150 BTC worth over $8.8 billion at spot rates in its balance sheet. This figure means it leads public companies who own Bitcoin.&nbsp;</p>

Spot Bitcoin ETF Is Coming, MicroStrategy May Suffer: Here’s Why

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