Shares in Bitcoin Treasury companies may be nearing the end of a period of dampened price action after an investment firm said it closed a short position against the strategy, the largest company holding Bitcoin.
Kynikos Associates founder James Chanos said on Sunday his investment firm removed a short position in Michael Saylor’s Strategy (MSTR) and a long position in Bitcoin (BTC) At the start of the trading day on Friday.
“The Bitcoin Treasury Company Bear Market is gradually ending,” the CEO of the Bitcoin Bond company, Pierre Rochard, said In response.
Chanos said shares in the strategy are down nearly 50% from their 2025 high and that the company’s net asset value (MNAV) has compressed to 1.23x.
“Cautious to occupy this trade at MNAV below 1.25x, down from ~2.0x as recently as July 2025,” Chanos wrote in a note.
He added that MSTR’s implied premium, its enterprise value minus its value 641,205 BTC Stash, has fallen from nearly $70 billion in July to $15 billion, suggesting the company may be better valued.
While MSTR may still experience more MNAV compression, especially if it issues more common equity, “the thesis is more played out,” Chanos said.
“This is the kind of signal you want to see for a reversal,” Rochard said.
Sharing many of the 200 publicly traded companies Holdings of Bitcoin on their balance sheets have fallen in recent months, leading some analysts to question the sustainability of Bitcoin Treasury techniques.
MSTR, Metaplanet down massively from mid year
The strategy was the hardest hit in total value terms, with its market cap falling 43% from $ 122.1 billion in July to $ 69.5 billion through Friday.
Metaplanet, one of the best-performing stocks on the Tokyo Stock Exchange to start 2025, has similarly seen its market cap slashed by 56% Since June 21.
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Other bitcoin buying companies still exist offload some of their BTC holdings to pay the outstanding debt.
Crypto market pressure can be easy
One of the biggest factors holding back the market is the US government shutdownhowever, several US media outlets reported on Sunday that the Senate had reached an agreement with Pass a package of budget bills to terminate the shutdown.
Bitcoin bounced 2% to $106,430 within 50 minutes of the reports, suggesting that the government opening could boost sentiment towards the crypto market.
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