TLDR
- MSTR rose 3.4% in pre-market Monday as Bitcoin climbed above $63,000 for the first time in two weeks
- A weaker-than-expected U.S. jobs report eased inflation concerns and gave Bitcoin a lift
- Strategy’s board-approved Digital Credit Capital Framework allows selective monetization of up to $1.25 billion in Bitcoin holdings
- The CLARITY Act, a U.S. digital asset bill, hit above 50% odds of passage on prediction markets
- Cantor Fitzgerald reiterated an Overweight rating and $212 price target on MSTR after meetings with Executive Chairman Michael Saylor
Strategy (MSTR) stock climbed 3.4% in pre-market trading Monday, extending Friday’s gains as Bitcoin pushed above $63,000 for the first time in two weeks. By mid-morning, MSTR was up around 7.9%.
The Bitcoin move was partly triggered by a weaker-than-expected U.S. jobs report, which eased inflation fears and lifted risk sentiment. Thin holiday trading volumes added fuel to the move.
Strategy holds more than 847,363 BTC on its balance sheet, making it the world’s largest corporate Bitcoin holder. When Bitcoin moves, MSTR tends to follow.
Other crypto-linked stocks also caught a bid. Circle Internet Group rose 4.3% and Coinbase gained 3.9%, while Riot Platforms and Marathon Digital both slid more than 7%.
Digital Credit Capital Framework
On June 29, Strategy’s board approved what it calls the Digital Credit Capital Framework. The plan authorizes the company to selectively monetize up to $1.25 billion worth of its Bitcoin holdings.
The proceeds would go toward strengthening cash reserves, covering preferred dividends, and funding stock buybacks. It’s a shift from the company’s long-running stance of accumulating Bitcoin and never selling.
A separate $1 billion program to retire discounted Digital Credit Securities was also announced, signaling management is working to cut funding costs and tighten spreads.
Cantor Fitzgerald followed up with a reiterated Overweight rating and $212 price target after analysts met with Executive Chairman Michael Saylor. The firm flagged bringing STRC preferred stock back to par as the key lever for unlocking value across the capital structure.
CLARITY Act Momentum
The broader crypto regulatory picture also got a boost. The CLARITY Act, a comprehensive U.S. digital asset market structure bill, saw its odds of passing cross the 50% threshold on prediction market Polymarket.
The bill gained support from key U.S. law enforcement organizations and is backed by more than 200 crypto companies, including Coinbase, Ripple, and Kraken. Supporters say it would provide clearer rules for digital assets and open the door to more institutional investment.
Wall Street remains broadly bullish on MSTR. BTIG analyst Andrew Harte reiterated a Buy rating last week, saying Strategy’s capital structure could help it outperform Bitcoin as prices recover. He lowered his price target slightly to account for Bitcoin’s recent pullback but kept the positive outlook.
TipRanks shows a Moderate Buy consensus on MSTR, with five Buy ratings and one Hold. The average price target sits at $315.83, implying around 213% upside from current levels.
MSTR is still well below its 52-week high of $457.22 and faces technical resistance in the $105–$110 range.
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