Strategy EVP Cashes Out $3.6M Before Bitcoin Slump

[Botnake]

I just came across a report that one of Strategy’s executives (formerly MicroStrategy) sold around $3.6 million worth of shares right before Bitcoin and related crypto stocks dipped. The timing looks a bit suspicious, basically unloading stock while BTC was still holding strong, only for the price to slide shortly after.

Of course, insider sales aren’t illegal by themselves. Execs often sell stock for personal reasons. But since Strategy is heavily tied to Bitcoin (their balance sheet basically lives and dies with BTC price), moves like this will always raise eyebrows. Was it just good timing, or did the exec have a sense that a correction was coming?

What do you guys think?

For a company that’s basically branded itself around Bitcoin, do these kinds of sales weaken investor trust?

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While MicroStrategy Incorporated (NASDAQ:MSTR) shareholders have enjoyed a good week with stock up 25%, they need remain vigilant. Even though stock prices were relatively low, insiders elected to sell US$3.6m worth of stock in the last year, which could indicate some expected downturn.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

[Fivestar4everMVP]

I just came across a report that one of Strategy’s executives (formerly MicroStrategy) sold around $3.6 million worth of shares right before Bitcoin and related crypto stocks dipped. The timing looks a bit suspicious, basically unloading stock while BTC was still holding strong, only for the price to slide shortly after.

Of course, insider sales aren’t illegal by themselves. Execs often sell stock for personal reasons. But since Strategy is heavily tied to Bitcoin (their balance sheet basically lives and dies with BTC price), moves like this will always raise eyebrows. Was it just good timing, or did the exec have a sense that a correction was coming?

What do you guys think?

For a company that’s basically branded itself around Bitcoin, do these kinds of sales weaken investor trust?

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Let me get this clear, the exec sold shares and not bitcoin? And if I read and understood correctly, the shares had been up 25% or thereabout, what exactly is there to raise eyebrows about bud?

Clearly the exec was only trying to secure his profit, and its only coincidental that moments or couple of hours after he sold, the price of Bitcoin dipped, what is here to be suspicious about cus I honestly do not understand?.. 🤔

Key take aways from what I understand here is that the exec didn't sell bitcoin, he sold shares, possibly some shares he may have bought with his money, doesn't he has the liberty to sell those any time he deems it feet to? Even if it was bitcoin he sold, and it was bitcoin he bought with his money, there is absolutely nothing to hold him accountable for, he is just as free as any of us to trade his assets the way he wants to.

My honest take.

[Churchillvv]

Microstrategy sold stuck before the slight drop not bitcoin if am correct but that basically is not supposed to have connections with bitcoin even though the company has a lot to do with bitcoin, yet the most important thing is that not even microstrategy insiders knows anything about bitcoin next move for the next minutes, so whatever thy did in my opinion is just a simple action that was necessary for them but was a little too close to the time bitcoin or the market was about to do the slight dip.

[Botnake]

Let me get this clear, the exec sold shares and not bitcoin? And if I read and understood correctly, the shares had been up 25% or thereabout, what exactly is there to raise eyebrows about bud?

Clearly the exec was only trying to secure his profit, and its only coincidental that moments or couple of hours after he sold, the price of Bitcoin dipped, what is here to be suspicious about cus I honestly do not understand?.. 🤔

You’re correct, it wasn’t Bitcoin that was sold but shares. Still, MSTR stock is closely correlated with Bitcoin’s price.. when Bitcoin dumps, MSTR stocks dumps; when Bitcoin pumps, MSTR stock pumps as well.

That’s why the timing of the sale looks a bit suspicious, almost like there’s some insider info angle here. Sure, he already made a profit, but he could have earned more. Instead, he sold and right after that the price dumped.

@Churchillvv .... same answer to your comment..

[ColdLava40]

The dump began with binance selling off a huge stack of their Eth and in less than 24hrs the rest of the crypto market followed losing over $170 billion. 

It might be a coincidence, or probably an insider intel. Same time last week, the stock market printed over $1.2 trillion while the crypto market was still bleeding. So just maybe he had other plans with his shares and decided to sell off.

[FortuneFollower]

No trust is broken as it were the shares sold, not BTC itself.

They can do with them as they please, same with their BTC - although if all is done by the regulations installed

[Oshosondy]

Was it just good timing, or did the exec have a sense that a correction was coming?

We do not know. Do not think the executives can 100% be perfect.

For a company that’s basically branded itself around Bitcoin, do these kinds of sales weaken investor trust?

No, It can not weaken most investors trust because they know that bitcoin will increase back. Also not that huge amount of coins that can drop the price of bitcoin back below $100000 was sold.

It is good to know that bitcoin has started this week good as it increased from $109190 to above $112000.

[Free Market Capitalist]

What a moron. You bring an article from January, and you don't put the date in the quote? I'll put it on for you, nice and big.

...

So what nonsense do you have to say about a sale he made in January?

This is the typical bullshit thread started by someone who doesn't own a single MSTR share and probably doesn't have a single satoshi saved up either.

I own MSTR shares, and I couldn't care less about Kang's sale in January.

[batang_bitcoin]

For a company that’s basically branded itself around Bitcoin, do these kinds of sales weaken investor trust?

Nope, I think that we have to understand a company or an individual is free to sell whenever they want to. Just like us, if we start selling, these companies don't care about us and won't think why we have sold. And so, it's just a different treatment when it comes to these huge investors because they're being monitored by individuals to extract the strategies that they do. So, if they're selling, there's nothing wrong with that and we shouldn't be to wary of the things that they do with the bitcoins that they own. Like us, they are free to do whatever they want with it.

[EluguHcman]

I just came across a report that one of Strategy’s executives (formerly MicroStrategy) sold around $3.6 million worth of shares right before Bitcoin and related crypto stocks dipped. The timing looks a bit suspicious, basically unloading stock while BTC was still holding strong, only for the price to slide shortly after.

Of course, insider sales aren’t illegal by themselves. Execs often sell stock for personal reasons. But since Strategy is heavily tied to Bitcoin (their balance sheet basically lives and dies with BTC price), moves like this will always raise eyebrows. Was it just good timing, or did the exec have a sense that a correction was coming?

What do you guys think?

For a company that’s basically branded itself around Bitcoin, do these kinds of sales weaken investor trust?

Definitely nomatter how long we tend to hold, we would sell off somedays but probably some Bitcoins while we keep holding and stacking for the rest future sake since inflations is what can not be emitted.
So I hope as an individual with our personal motives in the decentralized markets, we don't need to be skeptic even at the step of every potential influencer because no one can predict the market. If you also want to take the fact he sold when price was high and suddenly the price DIP, take it that he was either in need of funds or that height of market price which he sold was part of his plans which he actually made achieved.

Don't get surprise to see him buy more again. Don't also believe there is a manipulation about it. We do sales and so as many. So this dude of the Strategy Exco should not be a point of attractions at all.

[Botnake]

So what nonsense do you have to say about a sale he made in January?

This is the typical bullshit thread started by someone who doesn't own a single MSTR share and probably doesn't have a single satoshi saved up either.

My bad, I didn’t notice the date.. I thought it was current since Bitcoin had recently dumped. But the real point here is whether someone inside MSTR had insider information. People might overlook it, but MSTR shares move almost in lockstep with Bitcoin. Whenever Bitcoin pumps or dumps, their stock reacts the same way.

That’s why the timing of the sale raises questions.
It could very well be a case of insider trading, something regular investors like us would never have access to.

I own MSTR shares, and I couldn't care less about Kang's sale in January.

i don't question that, glad we have someone here who actually own the stock..

[Fiatless]

My bad, I didn’t notice the date.. I thought it was current since Bitcoin had recently dumped. But the real point here is whether someone inside MSTR had insider information. People might overlook it, but MSTR shares move almost in lockstep with Bitcoin. Whenever Bitcoin pumps or dumps, their stock reacts the same way.

That’s why the timing of the sale raises questions.
It could very well be a case of insider trading, something regular investors like us would never have access to.

Nobody knows if he has insider information; it could be a coincidence. It could happen to anybody, so there is nothing strange about the dump. There are times I have sold my coins, and I was fortunate that the price dropped after a few minutes or hours. I don't usually pay attention to news about big dumps because they can instigate FUD.   

[AVE5]

Of course, insider sales aren’t illegal by themselves. Execs often sell stock for personal reasons. But since Strategy is heavily tied to Bitcoin (their balance sheet basically lives and dies with BTC price), moves like this will always raise eyebrows. Was it just good timing, or did the exec have a sense that a correction was coming?

What do you think

No nah; We don't have to find these market influencers activities of these institution investors to be tied in the price regulations rather, they are just companies or individuals that has highily studied the concepts of volatilities, got reliance on its reputations and in all, those who have shares in the ETF and such instituional executives like this one that has just made cashout that prompts this thread is just like everyone of us (individuals) with same vision of holding our values in bitcoin for profit making. Only that we all reacts to selling/buying and our investment goals/plans based on our investment risks which includes investment strategies and when to take profits.

[headingnorth]

That was just normal trading activity. Many traders outside of MSTR did the same thing.
You can't assume they even made any money on the sale. Maybe they did, maybe they didn't.
It depends on each person's entry and exit points. People tend to get shaken out by bitcoin's volatility.

If the market goes back up and beyond, which it will sooner or later, those who sold may regret selling
too soon. Many sellers will buy back in at the dip or in some cases at higher prices.

I recently sold a third of my bitcoin at $116K and bought back in at the dip around $109,500.
It was the first time I sold any of my bitcoin in years. But in most cases it's better to simply
buy and hold and not try to time the market. I just got lucky that time.

[red4slash]

Are their shares now an important part of bitcoin's sustainability? I don't think so, because after all, they sold 25 percent of their shares, probably to secure their profits, and this should not have an impact on bitcoin.

However, even if there is a small part that is being concealed, let's say Bitcoin temporarily declines, I think that is being overemphasized because, after all, no one can manipulate Bitcoin at this time, including them.

I just want to remain comfortable with the current situation because, in the end, even though Bitcoin experienced a correction before, today we can see that its progress is very noticeable again, so I don't want to be bothered by thinking about things that may just be connected but are only speculation without any clarity.
They are entitled to take profits, but we shouldn't be influenced by the hodl process that we are still doing.