Out of the traditional, as well as the crypto markets come a stock (MSTR) and a cryptocurrency (STX) that could outperform bitcoin across the rest of this bull market.
Both $STX and $MSTR could outperform $BTC
Stacks (STX) and Microstrategy (MSTR) are certainly odd bedfellows. One is a cryptocurrency that gives access to a layer 2 built on top of the secure bitcoin base layer, and the other is a multi-billion stock market company that just happens to have Michael Saylor as its executive chairman.
However, they both have the potential to outperform $BTC as long as the king of the cryptocurrencies is in an uptrend. The thesis is that if $BTC goes up, both $STX and $MSTR should go up further.
$MSTR entering buy zone?
Source: Coingecko/TradingView
Against the US dollar, $MSTR has made a 43% correction so far. If the price reaches the support at $1,078, that would be a 46% correction, which is a pretty good correction to make in a bull market.
Source: Coingecko/TradingView
Against $BTC itself, it can be seen on the weekly chart above that $MSTR has reached a very strong level of support. The uptrend against $BTC has been in force since May 2022, and the present correction could start reversing back in favour of $MSTR from this point.
$STX reached nearly 400% gains against $BTC
Source: Coingecko/TradingView
As for the world of cryptocurrencies, and in this case $STX, a similar picture can be seen. The price against USD has corrected all the way to support at $2.31, and has even wicked down to the even stronger support at $2.06, which is surprisingly the same 46% correction that $MSTR could make.
Source: Coingecko/TradingView
As can be seen in the STX/BTC weekly chart above, $STX has been in an uptrend against $BTC since early March. Disregarding the heavy corrections, $STX reached nearly 400% gains over $BTC. Now the price has corrected back to touch and confirm the 0.618 fibonacci level. This is a very bullish sign.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
