MSTR Stock Price Outlook as Institutions Buy $4.6B Strategy Shares Despite 19% Drop
Highlights
- MSTR stock price has dropped to test support at $161 as a rounding top appears.
- Despite MSTR stock crashing by 19% in Q1 2026, institutions bought $4.6 billion worth of shares.
- Vanguard and BlackRock were among the institutions that bought more MSTR shares while Morgan Stanley sold.
Strategy (NASDAQ: MSTR) dropped by 19% from $154 to $124 between January and March 2026. But this drop did not prevent institutions from buying, and they scooped $4.6 billion worth of Strategy shares during that period. Strategy is still buying Bitcoin, and its holdings reached 843,738 BTC on May 18. But a rounding top warns that the MSTR stock price might drop to $131 by June 30, 2026, because of a bearish pattern.
Institutions Buy $4.6B Strategy Shares in Q1 2026
CoinGape reported that Wall Street is doubling down on Strategy after Vanguard, Bank of America, and UBS Group bought MSTR stock. Strategy CEO Phong Le said that 13 institutions that have Strategy shares bought around $4.6 billion more from January to the end of March 2026.
Vanguard bought the second most shares in that first quarter after adding $967 million in MSTR stock. Capital International Investors was the biggest buyer with its $1.9 billion purchase that took its total holdings from $3.65 billion $5.57 billion.
BlackRock also bought $377 million shares in that quarter, but Morgan Stanley sold $7 million.
Strategy reported a net loss of $12.54 billion in Q1 2026, but this has not stopped Wall Street from expecting the stock to rise. TD Cowen raised the MSTR stock target to $400, saying consistently buying Bitcoin and the $1.5 billion repurchase of convertible notes is going to help the stock go up.
But Strategy said it might sell Bitcoin to get $1.5 billion that will be used to repurchase convertible notes. This sale will be contrary to Strategy’s modus operandi of never selling Bitcoin and could cause Wall Street to slash its target after the results for between July 2026 and the end of September 2026 come out.
MSTR Stock Price Outlook as Bears Test Support
MSTR stock price has support at $161. It traded at $162 at press time with a 1.92% drop, suggesting that bears are testing to see whether this support at at $161 is going to hold.
Strategy is going to confirm a rounding top pattern when the stock price goes below $161. This rounding top has a depth of 18.29%. That means Strategy shares will fall to $131 if this support at $161 does not hold.
The volume bars show there has been more selling than buying since May 11, and this pushed the stock to $161. The RSI reading of 46 also confirms that the momentum is still favoring bears, and MSTR stock might drop to $131.
But this fall to $131 might not happen if Strategy shares remain above $161. MSTR stock can recover as long as bulls defend this support at $161.
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Frequently Asked Questions (FAQs)
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