Bitcoin-linked stocks experienced a significant surge as the wider crypto market made a notable recovery, with Bitcoin successfully reclaiming the $91,000 mark. Strategy emerged as the standout performer, surging at a pace that outstripped both Bitcoin and many leading tech stocks on several occasions. MSTR shares surged by 8.66% at one point, reaching $186.26, buoyed by robust trading volume that surpassed 4.4 million shares, and MSTR is presently valued at $182.74. The move slightly outpaced Bitcoin’s rebound to $91,000, indicating a renewed appetite for high-beta exposure to the digital asset via equities. Other crypto-adjacent stocks also saw gains, with the iShares Bitcoin Trust ETF climbing over 7%, while smaller firms like Smarter Web Company and Metaplanet Inc. recorded mid-single-digit increases. Capital B experienced the most significant percentage shift among its peers, trading over 10% higher at various points throughout the day, driven by a notable increase in institutional demand, as trading desks noted strong inflows into Bitcoin ETFs.
Strategy’s rally was further fueled by recent remarks from CEO Phong Le, who spoke with Bloomberg about the company’s balance sheet strategy and long-term commitment to Bitcoin. He emphasized that Strategy has no intentions of selling Bitcoin unless absolutely necessary and affirmed dedication to maintaining dividend payments on preferred shares, stating that keeping the dividend intact mitigates uncertainty within the capital structure and aims to distribute it “in perpetuity,” though the board may still suspend payments. Le countered concerns over leverage, stating the company’s leverage ratio is about 12%, or 27% including preferred shares—far below levels seen in conventional U.S. corporations. The company secured $1.44 billion in equity in just over a week, ensuring nearly two years of dividend coverage, and Le noted that Strategy now has several years of dividend capacity within its Bitcoin reserves, reducing liquidation risk during market stress.
The company is establishing a cash reserve to cover two to three years of dividend payments, which Le expects to maintain for at least five to ten years. He reiterated that Strategy should not be viewed as a closed-end fund or ETF, asserting that it is a fully operational Bitcoin-focused company with employees, products, and revenue, not a passive investment vehicle. The firm is engaging MSCI and other index providers to clarify this distinction as they evaluate digital-asset treasury companies for index inclusion. Le added that MicroStrategy is evaluating opportunities to enter Bitcoin lending once major U.S. banks fully move into the sector, with conversations already underway as institutions prepare custody and lending services, noting that traditional banks have the scale and balance-sheet strength that MicroStrategy seeks.
Bitcoin’s rebound was decisive, trading around $91,100 late Tuesday—an 8% increase over the past 24 hours—with nearly $78 billion in trading volume, marking one of the strongest sessions in recent weeks. The surge pushed Bitcoin above its seven-day peak and solidly above last week’s low near $84,000, coinciding with several major financial institutions taking their boldest steps yet into Bitcoin investment products. Bank of America revealed that its 15,000 wealth advisers will now be able to recommend crypto exposure for the first time, beginning January 5, with allocations of 1% to 4% via selected Bitcoin ETFs, marking the end of long-standing internal restrictions. In a major shift, Vanguard has launched platform access to Bitcoin ETFs and crypto-linked mutual funds for the first time, opening the door for more than 50 million brokerage clients to gain regulated Bitcoin exposure and signaling a major transformation for a firm that once dismissed Bitcoin as too speculative for long-term investors.