Saylor to Quantum FUD: 'Catch Us in a Few Decades' — Bitcoin Already Bottomed at $60K

Michael Saylor, executive chairman of Strategy (MSTR), believes bitcoin likely bottomed in early February at $60,000. Speaking at a recent Mizuho event, the bitcoin maximalist repeated his long-held view that bottoms aren't about valuations but are driven by seller exhaustion. Because apparently, price discovery is just a fancy term for "when nobody left to panic sell," and we're apparently there.

Trend reversals, he added, are driven more by capital structure and liquidity than by investor sentiment. Saylor now sees limited selling pressure amid growing demand from ETF inflows, which are absorbing daily supply, and companies shifting treasury assets into bitcoin. The whales are basically doing their grocery shopping while the rest of us argue about charts at 3am.

As for the catalyst for the next bull market, Saylor believes it will be the formation of banking credit and digital credit on top of bitcoin. This will have bitcoin supporting more lending and credit activity beyond simple buy-and-hold demand. Imagine actually using BTC as collateral instead of just staring at it on your ledger like a digital pet rock.

Digital credit already exists, said Saylor, in the form of Strategy's STRC preferred stock, whose beefy 11.5% yield remains well below the company's expectation of BTC's long-term appreciation. Strategy is "stretching" bitcoin "from a nonyielding asset into a capital markets engine," he said. They're essentially trying to teach bitcoin to do something useful instead of just going to the moon.

On the recently hotly-debated topic of quantum computing, Saylor said the risks are overblown. The threat, he argued, is theoretical, likely decades away, and even then solvable. In quantum computing news, the boogeyman is still learning to tie its shoes.

Mizuho retained its outperform rating on Strategy and $320 price target, suggesting about 150% upside from the current $127. The analyst who wrote this is either very brave or owns a lot of STRC calls.