Bloomberg analyst urges MicroStrategy to scrap STRC after it fell to $88.51

A Bloomberg analyst said MicroStrategy should retire STRC after the financing instrument broke its peg and slid to as low as $88.51, a discount of more than 11%. The move has fueled concerns that the company could sell Bitcoin to shore up confidence in STRC. STRC has also shown a recent negative correlation with BTC, adding to questions about Strategy’s financial resilience and the risk of monetizing its Bitcoin holdings. The episode is influencing how the market prices credit and liquidity expectations for Strategy as a tradable stock in traditional finance, according to Bloomberg.