The launch of Twenty One, a new listed company that is fully committed to Bitcoin (BTC), seems at first sight a direct challenge for Michael Saylor’s Company Strategy (MSTR). But according to analysts from TD Cowen, this new player can work as a catalyst for broader recognition of Saylor’s long -term vision.
Institutional interest may get new impulse
Twenty One, supported by Softbank, Tether and Cantor Fitzgerald, among others, appears on the stage with an impressive 42,000 bitcoin on the balance. This makes it the third largest public Bitcoin holder in the world from the first day. The value of that property is currently around 4 billion dollars.
Instead of fearing market share or increased competition on the capital market, analysts Lance Vitanza and Jonnathan Navarrete from TD Cowen see a fundamental confirmation of the strategy that Strategy has been running for years. According to them, this move can even pull skeptical institutional investors. Something Saylor has been putting on since 2020.
The arrival of a strong fellow player such as Twenty One does not only increase the demand for Bitcoin. It also underlines the viability of the model in which Bitcoin is not seen as a speculative investment, but as the core of the business strategy. In that point of view it is not a threat, but rather a reinforcement of the ecosystem in which Strategy is located.
CEP shoots up after stock market news around Twenty One
The price of the Spac-Vehikel Cantor Equity Partners (CEP), with which Twenty One goes to the stock exchange, increased by no less than 130 percent after the announcement. The shares of Strategy itself remained stable. This shows resilience, despite the news of a new competitor.
TD Cowen maintains its price target for strategy at $ 550. According to their prognosis, the company could have around 757,000 BTC by the end of 2027. That is good for more than 3.5 percent of the total Bitcoin stock. If the average price of Bitcoin is $ 170,000 by that time, the value of Strategy’s Bitcoin possession could amount to $ 129 billion.
The fact that a newcomer like Twenty One does not cause unrest, but is seen as a positive signal, shows how adult is becoming the Bitcoin landscape. Crypto is no longer only seen as a quick chance of winning. More and more often it is seen as a structural part of institutional portfolios.
Source: https://newsbit.nl/aandeel-strategy-krijgt-steun-rivaal-twenty-one-bevestigt-succes-van-bitcoin-strategie/
