Didn't MicroStrategy face a liquidation risk in 2022 when Bitcoin sharply fall? It was very close to liquidation if I remember correctly but I might be wrong because I didn't pay too much attention to this fact.
Nearly since they experience losses before due to market downturns
https://coinpedia.org/news/will-microstrategy-liquidate-its-bitcoin-holdings-if-btc-price-drops-to-12k/Many people thought that they get dissolve when that situation occurs, but Microstrategy manage to survive and their belief on Bitcoin bring them on where they are right now. if this situation happen to other company for sure they already file a bankruptcy. So let see if 21 Capital could also do what Microstrategy done and they have the same level of belief and understanding since if they don't know how to handle well the situation maybe they are the first one will get dissolve.
I think this is the mayor hurle for 21 Capital.
Currently i see two weakness in 21 Capital:
- Higher entry price in Bitcoin: the market can test the "pain level" of 21 Capital, much quicker and easily than Strategy's one. They will eventually do that. Bear in mind the 85K level.
- Commitment: Saylor said he would never sell any bitcoin and would take his stash to his grave. 21 Capital is a sum of different players; hence, agendas could diverge sooner or later.
Both of your inputs will be the concern of this company and I really like what they can do especially if there's a bearish market trend would come since this will test the strength of their company and belief on their long term investment plans with Bitcoin.
Lets find out to if we can see 21 capital official will have the same stance with Michael Saylor about not selling their Bitcoin whatever happens on the market.
But for sure they will not play fool around since somehow they are experience individual and also know what's best approach to do towards on investing on Bitcoin.