Schaeffer's Top Stock Picks for '25

Software Stock Drops After Big Bitcoin Buy

Options are looking affordable, too

Managing Editor
Dec 30, 2024 at 9:25 AM
facebook X logo linkedin


Software name MicroStrategy Inc (NASDAQ:MSTR) is plummeting in pre-market trading, last seen at $317.97 after the company revealed a sale of 592,987 shares valued at $209 million and a subsequent acquisition of 2,138 bitcoins, worth the same amount.

MSTR has been a major market mover over the past few months. Most pullbacks were captured by the $330 floor, though today's plunge brings the stock to its lowest mark since early November. For 2024, the security has jumped 422%. 

Call traders have been swarming MicroStrategy stock. Data at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) shows a 50-day call/put volume ratio of 2.21, which ranks in the 95th annual percentile.

For those looking to get in on the action, options may be the ideal route. The security's Schaeffer's Volatility Index (SVI) of 91% sits in the low 14th percentile of its annual range, meaning options traders are pricing in low volatility expectations. The stock tended to outperform these volatility expectations over the past year, per its Schaeffer's Volatility Scorecard (SVS) of 89 out of 100. 

 

 
 

You have the chance to join one of Bernie's most exclusive programs, complete access at HUGE savings!

As we prepare for a new administration to take the reins in Washington, the near-term market landscape is rife with uncertainty.

The Federal Reserve has already hinted at the turbulence ahead, lowering its interest rate outlook for 2025.

Meanwhile, breakthroughs in artificial intelligence (AI), quantum computing, and other transformative sectors have unlocked incredible profit potential.

But these opportunities are fleeting, and timing is everything. That's where Quick-Hit Trader comes in.

Quick-Hit Trader is designed for precision and speed, getting you in and out of the market in a flash. While other investors scramble to navigate volatile conditions, you'll have access to expertly curated trades that leverage these rapid shifts to deliver explosive profits in short order.

This is your chance to capitalize on the fast-moving market like never before. Are you ready to make your move?