The US financial firm Cantor Fitzgerald has significantly reduced its price target for Michael Saylor’s Bitcoin-centric company, Strategy, while maintaining an optimistic view on the long-term potential of cryptocurrency, as reported by the Financial Times.
Cantor Fitzgerald has reportedly cut its 12-month price target for Strategy stock by 60%, adjusting it to $229 from $560, according to an analyst note viewed by the FT.
Despite this downgrade, Cantor’s “buy” rating remains intact, as the bank asserts that concerns about Strategy’s forced liquidations are “unfounded,” despite garnering significant scrutiny.
According to Cantor Fitzgerald’s analysts, Strategy has “sufficient cash” to sustain dividend payments for 21 months. “Additionally, MSTR can still raise funds through equity facilities if necessary. Unless there is a 90% drop from current BTC levels, these fears are unfounded.”
Nevertheless, Strategy’s share price has significantly underperformed compared to Cantor’s earlier target. Cantor Fitzgerald holds the position of the ninth-largest shareholder in the company.
At the time of writing, Strategy’s stock was trading at approximately $186, reflecting a 27% decline over the past month and a 35% drop year-to-date, according to Google Finance data.
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MSCI risk and Bitcoin at $1.5 million
Strategy’s stock continues to encounter short-term challenges, notably the MSCI Index’s potential move to exclude companies with digital asset holdings that exceed 50% of their total assets.
If implemented, this could lead to the “forced selling of MSTR,” but Cantor describes this fear as “somewhat valid,” presenting only a “near-term flow headwind.”
Still, Cantor remains optimistic regarding both Strategy and Bitcoin’s (BTC) price movements, referring to the current slump as a “healthy” correction, anticipating that BTC will surpass gold in market capitalization.
“We firmly believe that we are close to Bitcoin overtaking Gold’s market cap,” Cantor reportedly indicated. “As of now, Bitcoin’s market cap constitutes just 6.1% of Gold’s market cap. For Bitcoin to surpass Gold, it would need to be priced at $1,577,860.”
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Other prominent analysts have also suggested that Bitcoin will eventually surpass gold’s market capitalization. For instance, Joe Burnett projected that Bitcoin could exceed $1.8 million by 2035.
However, Bitcoin’s value would need to increase nearly sixteen times to outpace that of gold.
Since the start of 2025, gold’s price has increased by 58%, while Bitcoin has experienced a 1.5% decline year-to-date, according to TradingView data.
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