Introduction to Metaplanet’s Stock Price

Metaplanet stock price is in a free fall, erasing some of the gains made after its pivot to Bitcoin accumulation.

Current Stock Performance

Metaplanet shares have plunged to ¥709, their lowest level since May 19, and 63% from their highest point this year. This performance makes it one of the worst-performing Bitcoin treasury companies in the industry.

Bitcoin Treasury Firms

Have Bitcoin treasury firms fallen out of favor? Metaplanet, a Japanese hotel operator, has become one of the top Bitcoin accumulators. It has bought 20,000 coins, making it the sixth-biggest public holders of Bitcoin .

Strategy and Goals

The company aims to emulate Michael Saylor’s Strategy (holder of 636,505 coins) by buying 210,000 coins over time. Its shareholders gave it the nod to raise $3.8 billion for further acquisitions.

Industry Performance

The Metaplanet stock price has plunged in the past few months as investors have soured on the industry. A closer look shows that most companies with Bitcoin in their holdings have all slumped.

Comparison with Other Companies

MSTR stock price has plunged by over 20% from its all-time high. Similarly, companies such as American Bitcoin, MicroCloud Hologram, and Bullish have all experienced a slump.

Valuation Concerns

The stock has also dropped because of concerns about its valuation in relation to its Bitcoin holdings. Its current Bitcoin holdings are worth $2.2 billion, much lower than the enterprise value of $5 billion. As such, investors may be getting concerned about the $2.79 billion gap in its valuation.

Profit-Taking Among Investors

Metaplanet share price may be plunging because of profit-taking among investors. Despite its recent crash, it is one of the best-performing Japanese stocks, having jumped by over 3,980% from its lowest level in 2024.

Technical Analysis

Metaplanet stock price technical analysis shows that the daily timeframe chart has been in a freefall in the past few months. It has moved from a high of ¥1,930 to ¥709 today.

Death Cross Pattern

This freefall may continue as it crossed the critical support level at ¥723, its highest swing in February this year. It is about to form a death cross pattern as the 50-day and 200-day Weighted Moving Averages near their crossover.

Trend Strengthening

The Average Directional Index has moved to 32, a sign that the trend is strengthening. Therefore, the stock will likely continue plunging as sellers target the key support at ¥500. This sell-off will accelerate if Bitcoin price continues moving sideways.