Bitcoin treasury bear market tipped to end as short seller backs off MSTR

💡 DMK Insight

Bitcoin treasury stocks might be stabilizing, and here’s why that matters: The recent decision by an investment firm to end its short position suggests a potential shift in sentiment among institutional players. This could indicate that the worst of the declines in Bitcoin treasury stocks is behind us, especially if we consider the mNAV (market net asset value) decline has already played out. For traders, this could signal a buying opportunity, particularly if Bitcoin’s price starts to show signs of recovery. Keep an eye on the broader market context; if Bitcoin can hold above key support levels, it may attract more institutional interest. However, it’s worth noting that this isn’t a guaranteed turnaround. If Bitcoin fails to maintain upward momentum, we could see renewed selling pressure. Traders should monitor the next few days closely, especially any price action around significant resistance levels. A breakout could lead to a rally, while a failure to hold current levels might trigger further declines. Watch for volume spikes as a confirmation of any trend changes.