US-based financial firm Cantor Fitzgerald has lowered its price target for Michael Saylor’s Bitcoin-focused company, Strategy (MSTR), but maintained a bullish view on Bitcoin’s long-term prospects, dismissing concerns over forced liquidations, according to the Financial Times.
The firm reduced its 12-month price target for Strategy stock by 60%, from $560 to $229, per a Thursday analyst note seen by the FT.
Despite the downgrade, Cantor kept its “buy” rating, stating that fears of forced sales were “not warranted”. Analysts noted that Strategy has sufficient cash to cover dividend payments for 21 months and retains the ability to raise additional capital through equity facilities if necessary.
“Absent a 90% drop in current BTC levels, this fear is overblown,” Cantor added.
Strategy’s share price has significantly underperformed Cantor’s previous target. Cantor Fitzgerald ranks as the company’s ninth-largest shareholder.
At the time of writing, Strategy stock was trading around $186, down 27% over the past month and 35% year-to-date, according to Google Finance.
MSCI Risk and Bitcoin Valuation at $1.5 Million
Strategy’s stock continues to face short-term pressures, including the risk that the MSCI Index may exclude companies holding more than 50% of their assets in digital currencies.
If implemented, this could trigger forced selling of MSTR shares, though Cantor Fitzgerald described the concern as “somewhat warranted”, noting it would primarily create a near-term flow headwind rather than a fundamental threat.
Cantor remains bullish on both Strategy and Bitcoin, describing the current pullback as a “healthy” correction while noting that BTC is on course to surpass gold’s market capitalization.
“We continue to believe that we are not far away from Bitcoin overtaking Gold’s market cap,” Cantor reportedly wrote. “As of today, Bitcoin’s market cap is just 6.1% of Gold’s market cap. To overtake Gold, Bitcoin would need to be priced at $1,577,860.”
Other prominent analysts have similarly forecasted that Bitcoin could eventually overtake gold’s market capitalization. For example, Joe Burnett projects that this milestone could push Bitcoin above $1.8 million by 2035.
However, for Bitcoin to reach that level, its price would need to increase nearly 16-fold to match the value of the world’s largest precious metal.
Since the start of 2025, gold has gained 58%, significantly outperforming Bitcoin, which has seen a 1.5% year-to-date decline, according to TradingView data.
