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10baggerbamm : Michael Saylor fucked up plain and simple.
I read numerous reports that came out yesterday into the late evening early hours in the morning from proclaimed expert bobbleheads on microstrategy, supporters, advocates.
.there was no reason absolutely none for him to redeem a 0% convertible 2 years early and give a massive amount of profit to the creditors dilute shareholders, there was zero benefit in doing so
there's more to this story and I'm sure it's going to go down the rabbit hole and I would say it has to deal with who the creditors were who held that convertible in size because it's sold to numerous hedge funds institutions corporations some rich people. you would have to know who these people are who the institutions are because that's where this problem comes from that was the reason for it being done I believe there's something going on behind the scenes and somebody wanted out is the only way I can put it.
obviously MS is very smart. he's way ahead of the curve he's a big picture thinker and he understands where the markets going multiple steps ahead before the average person.
that being said when it's a lose to the shareholders a lose to the company's equity and the only win is the creditor you have to think the way that I do that somebody had some dirt on him and said we want out now we're not waiting or we're going to come public.
I read from what I think are fairly credible people saying oh it secures up the balance sheet he doesn't care about that his whole approach has been using the stock as collateral to buy Bitcoin and sell convertibles in the future so that he can buy Bitcoin today. so this has nothing to do with making the books look better from an accounting standpoint.
I got absolutely slammed on numbers of sites people saying to me look what you're doing to the market look what you're doing to the stock.
and my response to these idiots that's the dumbest statement of the day award goes to you because if you think that I one person who has an opinion a little bit of seat time experience in the real world can move microstrategy stock because I believe there's a lot more to the story and if you think that I'm the one that's causing these massive blocks hitting the market you're out of your fucking mind.
I just think differently than the average person because there has to be a reason for doing this and when the company itself doesn't win and when the shareholder does not win and the creditor is the winner you look at the creditor it's that simple so whoever was one of the largest holders of that convertible is the one that should be scrutinized because that's I believe where the pressure came from to cause this liquidation that took place yesterday.
many people telling me no one's selling the stock because they're not going to have it until February. of course we know that if you're going to be receiving stock in the future you can sell it today to cover a short sale that you're going to do in the open market today. so I believe whomever this group was hedge funds corporations whatever they were the massive sellers combined with a lot of institutions a lot of the mutual funds and funds that owned it long they dumped it they're done.
you got every other crypto related investment ETF trading significantly higher and the benchmark to bitcoin microstrategy significantly lower.
that's enough for anybody with a half a brain to say I'm done with this shit because the premium that microstrategy historically traded at of two to one over Bitcoin is going to deteriorate and we watched it happen yesterday and I think it's going to continue to drop and I think it's going to go down to maybe 1.7 times Bitcoin ultimately maybe around 1.4 1.5 times. what that means is Bitcoin could be 125 130,000 and micro strategy stock is not going to be moving lock step with Bitcoin any longer. people are not going to forget what he did today and they're not going to want to buy and pay a risk premium if they're not going to get rewarded when Bitcoin trades higher.
and this week I believe the market's going to sell down going into the Fed and it's going to be risk off and the fed's going to have negative comments and chairman mao is going to buttheads with Trump and I believe Trump's going to say I'm done and he's going to want him removed and that's going to cause a shit show and I think you're going to see retaliation from chairman Mao and he's going to say things that are going to be very bad for the market.
what that means is microstrategy is going to be lower
so we're going to see what's going to happen but I'm livid fucking pissed to say the least because as I mentioned I sold it a large position in etherium the day before and I added to what was a very large position in microstrategy and I got hit over my head just like everybody else. I did sell calls when I bought mstu on Thursday for a Friday expiration but that only brought in a little premium for a total of 2 days before expiration. my plans Monday I'm selling calls on the whole fucking lot for Friday expiration if I get called away and take a loss on what I bought on Thursday so be it and I'm going to gradually close out my long position and everything else that I've accumulated because what he did and he's never explained it online on X or any other platform to me is a reason I can't trust him any longer I'll just stick with b i t x I won't get the full leverage as microstrategy used to offer but if Bitcoin goes up to 120 I know I'm going to get compensated and b i t x and I don't necessarily think the microstrategy is going to participate like it used to any longer