MicroStrategy, is it becoming Bitcoin's biggest "stumbling block"?

These past few days, Bitcoin has been crashing hard. On June 1st, Bitcoin dropped from 73,000 to 70,000, and on June 2nd, from 71,000 to a low of 66,000, a decline of up to 6%. From the high of 82,000, it has already fallen 20%.

Yesterday, Bitcoin's decline can be described as very smooth, and recently, Bitcoin has been falling very smoothly, with no resistance at all. As shown in the chart below, this situation must be due to a large amount of sell orders being dumped, without a doubt. Moreover, since May 25th, after Bitcoin dropped from 77,000, there has been almost no significant rebound.

Let me share my feelings:

1. I didn't expect Bitcoin to fall so smoothly, with no resistance at all. Although MicroStrategy sold 32 Bitcoin, I didn't expect the market to react so strongly. In my article on May 6th titled "If a whale targets MicroStrategy, it will be a 'clear card hunt'," I mentioned that if institutions start manipulating MicroStrategy, it wouldn't be good.

But then I thought carefully: even if no institutions are manipulating MicroStrategy, it is still a "cancer" on Bitcoin's path toward decentralization.

Everyone knows that MicroStrategy holds nearly 850,000 Bitcoin, close to the amount held by the largest holder, "Satoshi Nakamoto." Once you dump, everyone becomes your "purchaser"; if it rises, everyone is helping you "lift the car." So, either way, it's problematic. Plus, there's a common mindset—"I'd rather not make money than help you lift the car!" Because people like to see others lose money, not see others profit!

So, if MicroStrategy doesn't fall, it’s like an "invisible mountain" pressing down. Some say ETFs are also large in size, but you should know that ETFs are bought and held by retail investors, who can sell or buy at any time. They are not held by a single institution with a large volume. MicroStrategy, on the other hand, is a company holding such a large amount, and the boss can decide to sell or not.

Remember the rumors that "Satoshi Nakamoto"’s account was resurrected? The market was panicked and cautious. Bitcoin was born with the "decentralization mission," but now there's a big mountain—MicroStrategy—whose size already influences the market. That’s not very decentralized.

So, in the future, for Bitcoin to develop, this "MicroStrategy" must fall. A whale falling, everything thriving! It’s definitely a "stumbling block." Imagine if Satoshi Nakamoto were still alive and occasionally spoke up—that Bitcoin probably wouldn’t have risen to its current heights!

2. Currently, the main narrative in the market isn’t Bitcoin. The US stock market has hit new highs consecutively, yet Bitcoin is still falling against the trend. I checked the ETF outflow over the past 30 days—every day there’s outflow, almost no inflow. Over 30 days, about $5 billion has flowed out.

The current focus is on the US semiconductor sector. Yesterday, I mentioned NVIDIA’s ecosystem. Look at the recent gains, for example, Marvell has increased by 20%-30% for two consecutive days, Coherent has also risen 20%-30% for several days, and Lumentum has been doing well recently, not to mention Micron and SanDisk in storage.

This will definitely create FOMO. American ETFs are essentially retail investor activities—if they’re not chasing the rise, are they chasing the fall?

So, in the end, does Bitcoin still have a future? The answer is definitely yes. First, the consensus still exists; many institutions, funds, and long-term investors still believe in Bitcoin.

It’s just that currently, the attention isn’t enough, and the enthusiasm for funds has waned. After this wave of semiconductors peaks and consolidates, some funds may become fearful and withdraw. Then, if Bitcoin drops enough in price later, that’s also fine. Also, if MicroStrategy collapses, that’s a positive signal—short-term, it might be negative; long-term, it’s definitely positive. But if MicroStrategy falls, Bitcoin might get bloodied, though the probability of that seems low at the moment.

Recently, I’ve realized that market hotspots must be approached with caution. This AI narrative isn’t just going to last a short while. If it’s worth chasing, then chase it! Fish where there are fish!