Asia's largest "Bitcoin concept stock" Metaplanet's stock price has fallen by 12%, with its enterprise value falling below its Bitcoin Holdings for the first time!

Asia's largest corporate Bitcoin holder Metaplanet (stock code: 3350) saw its share price plummet 12.36% on Tuesday, closing at 482 yen. The main reason for this plunge is the recent big dump in the crypto market, which dragged Bitcoin's price below $110,000, causing its corporate value to fall below the total value of its held Bitcoins for the first time. According to company data, Metaplanet's mNAV (market capitalization plus total debt, divided by the value of Bitcoin holdings) has fallen to 0.99. The breach of this key threshold, along with the formation of a “death cross” bearish pattern on the daily chart, has intensified market panic and may attract more institutions to engage in shorting.

Stock price accelerates decline: daily chart shows “death cross”

Metaplanet stock continued to be under pressure on Tuesday, with the Japan-listed 3350 stock closing down 12.36% at 482 yen. The trading volume significantly increased to 61 million shares, higher than the average trading volume of 46 million shares, indicating that traders are actively opening shorting positions.

· Fell over 75% from the peak

According to data from Yahoo Finance, both the Japan-listed 3350 stock and the US-listed MTPLF stock have currently fallen over 75% from their historical highs in June. Last Friday, when the price of Bitcoin plummeted to $104,582, Metaplanet's stock price once dropped over 18%.

· Technical pattern looks bearish

For Metaplanet stocks, there may be greater selling pressure in the future, as a “Death Cross” has already formed on its daily chart. This typical bearish technical pattern occurs when the 50-day moving average (50-MA) crosses below the 200-day moving average (200-MA), which is usually seen as a signal of a long-term bear market trend.

Historic Moment: Corporate Value Falls Below BTC Assets

Metaplanet is a Tokyo-listed hotel company known for its shift of the corporate balance sheet towards Bitcoin strategy.

· Bitcoin Holdings Overview

As of now, Metaplanet has accumulated a total of 30,823 Bitcoins in its corporate treasury, with a total value of approximately 3.47 billion USD. The company has recently become the world's fourth largest corporate Bitcoin holder after purchasing 5,268 Bitcoins at an average price of 116,870 USD each (worth 615 million USD). Nevertheless, the company still has an unrealized profit of 322.48 million USD and a year-to-date return rate of as high as 496.4%.

· mNAV fell below the 1.00 mark

However, due to its stock price continuously falling from the historical high of 1,930 yen in mid-June, investor sentiment has been severely impacted. On Tuesday, the company's mNAV (market capitalization and total debt divided by the value of Bitcoin holdings) ratio fell to 0.99. This means that Metaplanet's total enterprise value has for the first time dipped below the net value of its Bitcoin holdings.

· The risk of institutional shorting has resurfaced

Metaplanet has faced large-scale shorting from financial giants such as Morgan Stanley, UBS, Jefferies, and JPMorgan. Given that its enterprise value has fallen below Bitcoin Holdings, and the appearance of technical signals like the “death cross”, institutions may again engage in large-scale shorting of Metaplanet's stocks.

Bitcoin Market Dynamics: Price Still Struggling Around $112,000

The big dump in Metaplanet's stock price directly reflects the recent weakness in the Bitcoin market.

· BTC price and trading volume

In the past 24 hours, the price of Bitcoin has fallen by 3%, currently trading at 112,198 USD, with a price range between 111,569 USD and 116,020 USD over the 24-hour period. Additionally, the trading volume of Bitcoin has decreased by 18% in the past 24 hours, indicating a decline in trader interest.

Conclusion

The fact that Metaplanet's stock price has fallen below the value of its Bitcoin holdings is a symbolic turning point, indicating that the market's confidence in its “Bitcoin concept stock” premium is waning. mNAV has dropped to 0.99 and the formation of a “death cross” on the daily chart provides new ammunition for shorting. Although Metaplanet still enjoys considerable unrealized profits from its Bitcoin strategy, in the short term, as long as Bitcoin prices continue to hover around $110,000 and macro sentiment remains cautious, Metaplanet's stock price will continue to face significant selling pressure.

This article is news information and does not constitute any investment advice. The crypto market is highly volatile, and investors should make cautious decisions.