Whale's Insight: Bitcoin, Nvidia, And Strategy, What’s Changing In Crypto? (BTC-USD) - Seeking Alpha

The cryptocurrency market is facing multiple pressures as Nvidia's stock has fallen nearly 33% in a month, while hotter CPI data has pushed December Fed hike expectations higher. Crypto liquidity is simultaneously shrinking, with stablecoin supply down $16 billion in a month, Bitcoin ETFs losing nearly $2 billion over three weeks, and nearly $4 billion in long liquidations.

MicroStrategy challenges

MicroStrategy's Bitcoin buying model is under pressure following MSCI's removal of the company from its index. This exclusion could trigger $1.6 billion to $2.8 billion in passive selling of MSTR shares. MSTR's market-cap mNAV has dropped to 0.83x, making equity financing less attractive, which could slow Strategy's future Bitcoin purchases despite its holdings exceeding 850K BTC.

Avalanche partnership

Avalanche has landed a major Wall Street deal, as its blockchain technology was selected for an upcoming NYSE-affiliated tokenized securities platform. AVAX initially jumped nearly 10% before giving back its gains, though the partnership could prove more valuable over time, especially when the crypto market recovers.