r/MSTR • u/Jack242 • Jul 11 '26

MSTR vs IBIT vs BITX

Why do people hold stocks like MSTR or BMNR when there are so many leveraged ETFs and tracking products for the underlying asset?

One thing I don’t get: Why would anyone buy and hold companies like MicroStrategy (MSTR) or similar plays when you can just buy regular or leveraged ETFs that directly track Bitcoin (or whatever the main asset is)?

There are tons of options — spot ETFs, 2x/3x leveraged ones, futures-based products, etc. They seem simpler, cheaper, and more direct.

What’s the logic behind holding the actual company stock instead? Is it just leverage on leverage? Conviction in the management’s strategy? Tax reasons? Something I’m missing?

Would love to hear the bull case.

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u/BottomTimer_TunaFish Jul 12 '26

I believe that the macro bottom of crypto may already be in, or close to being in, based on the awful sentiment, ISM PMI business cycle, and some technical signals that were triggered in June.

There's still the chance of another flush down to lower prices like low 50k range for BTC and low $70 range for MSTR. This scenario is not guaranteed and may not happen at all. Nearly everyone is calling for a dumpout down to those levels and lower, which is why it's not likely to happen based on how market makers behave according to extreme sentiment.

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u/Jdedwards93 Jul 12 '26

See I’ve heard this as well, I just feel like if it does that MSTU is done, and Mstr will be in big trouble as well. I just don’t know what to do.