Strategy (MSTR), the main stock market proxy for Bitcoin and the world’s largest BTC holder, may have found its major bottom after losing approximately 85% of its value from its all-time high. Bitcoin appears to have completed its cyclical bear market on July 1 at $57,750, and Strategy’s technical setup, with strong bullish divergences on momentum indicators, supports this hypothesis. However, Strategy’s upward reversal remains conditional on breaking through several major resistance levels, including the 200-day and 200-week moving averages, as well as the weekly Kumo of the Ichimoku system. An additional risk factor stems from MSCI’s decision expected on October 16, which could trigger mechanical selling in the event of Strategy’s exclusion from its indices, creating additional downward pressure on the share price.
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