Bitcoin News Today: "Institutions Move Away from MSTR as Bitcoin ETFs Surge and Direct Investment Becomes Easier"

Institutional investors have made significant reductions in their holdings of

(MSTR), the largest public company owning , cutting back by $5.38 billion during Q3 2025, based on compiled 13F reports. This pullback, which includes major players such as , Vanguard, and Fidelity, signals as spot Bitcoin ETFs and direct investments become more popular. Even though Bitcoin hovered around $86,000—down 10% over the last week— for the digital asset.

The mass withdrawal from

has ignited discussions about the company’s shifting position in the industry. Tom Lee, who chairs Bitmine Immersions, believes MSTR is increasingly being used as a hedge against crypto volatility. He notes that institutional investors are shorting MSTR shares to balance out long Bitcoin positions, . This trend has become more pronounced the worth of its Bitcoin assets earlier this month.

The move away from MSTR is also influenced by evolving financial structures. For a long time, the company acted as an indirect gateway to Bitcoin for institutions facing regulatory or operational hurdles. But now,

have lessened the need for MSTR as a Bitcoin stand-in. that if MSTR is removed from major indices like MSCI USA, it could force as much as $8.8 billion in outflows from funds that track those indices. This scenario, which could play out by mid-2026, , which has already dropped 60% since November 2024.

The overall sentiment in the Bitcoin market remains negative,

after falling 32% from the October high of $126,272. from CCN point out that the crypto sector has lost 30% since its October peak, with no clear signs of a turnaround. Meanwhile, MSTR continues to expand its Bitcoin reserves, in the week ending November 17.

The company’s financial reports reveal both strengths and vulnerabilities.

of $2.8 billion, largely due to mark-to-market gains as Bitcoin’s price climbed from $107,000 to $114,000. However, its multiple-to-net-asset-value (mNAV) ratio has dropped to 1.16x, where the stock price matches the value of its Bitcoin holdings. This ratio, which was as high as 2.5x in late 2024, has attracted attention from short-sellers like Jim Chanos, who exited his MSTR short as the ratio fell.

Although Michael Saylor, the chairman of MSTR, maintains that the company is steadfast in its Bitcoin acquisition plan, opinions in the market remain split.

, forecast a $585 share price for MSTR by 2027 if Bitcoin purchases persist. Others, such as Ivy Interfayce from TipRanks, have lowered their targets to $183, indicating a more cautious stance. whether MSTR can maintain its significance as the crypto and institutional landscape continues to change rapidly.