Metaplanet’s stock price is in a free fall, eliminating some of the profits earned after a pivot into Bitcoin accumulation.
summary
- Metaplanet’s stock price has fallen 63% from the previous day.
- Bitcoin Treasury stocks have plummeted over the past few months.
- Technical analysis points to more downsides over the coming weeks.
Metaplanet stocks plummeted to 63% from its lowest level since May 19th, the highest point this year. This performance makes it one of the worst Bitcoin finance companies in the industry.
Has Bitcoin finance company lost its favor?
Metaplanet, a Japanese hotel operator, has become one of the top Bitcoin accumulators. It purchased 20,000 coins, making it the sixth largest public holder for Bitcoin (BTC).
The company aims to emulate Michael Saylor’s strategy (owner of 636,505 coins) by purchasing 210,000 coins over time. Its shareholders nodded to raise $3.8 billion for further acquisitions.
Metaplanet stock prices have plummeted over the past few months as investors deteriorated in the industry. A closer look shows that most companies that have Bitcoin in their holdings have all been suspended.
MSTR stock price plummeted more than 20% from an all-time high. Similarly, companies such as Bitcoin in the US, Microcloud Hologram and Bullish are all experiencing a slump.
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Stock prices also fell due to concerns about IT valuations related to Bitcoin Holdings. Currently, Bitcoin holdings are worth $2.2 billion, much less than the enterprise value of $5 billion. So investors may be worried about the $2.79 billion gap in its valuation.
Metaplanet stock prices could be plummeting among investors to make money. Despite the recent crash, this is one of the best performing Japanese stocks, up over 3,980% from the 2024 lowest level.
Metaplanet Stock Price Technical Analysis
Metaplanet Stock Chart | Source: TradingView
Daily time frame charts show Metaplanet stocks have fallen free-falling over the past few months. Currently, it has moved from 1,930 yen to 709 yen.
This free fall could continue as it exceeded its critical support level in February this year at its highest swing of 723 yen. A weighted moving average of 50 and 200 days is about to form a cross pattern of death near the crossover.
The mean directional index has moved to 32. This indicates that the trend is being strengthened. So the stock will likely continue to plummet as sellers target key support at 500 yen. This sale accelerates as Bitcoin prices continue to move sideways.
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