BTIG managing director and digital assets analyst Mark Palmer is revealing his bullish price targets for Bitcoin (BTC) and MicroStrategy (MSTR).
In a research note, Palmer highlights the relationship between the price of MSTR and Bitcoin’s value.
“We fully acknowledge that MSTR, which last August became the first publicly traded US company to adopt Bitcoin as a treasury reserve asset, has taken a massive unhedged long position on a highly volatile speculative asset… [MSTR aims to] capture upside arising from the increased adoption of the cryptocurrency by institutional investors concerned about mounting inflationary pressures.”
Palmer’s comments on the correlation between the two assets come as he unveils a “Buy” rating for MSTR with a price target of $850 assuming that Bitcoin will surge to $95,000 by the end of 2022. MSTR is trading at around $703 with BTC valued at $59,626 at time of writing.
MicroStrategy leads all publicly listed companies in terms of Bitcoin investments to the tune