Bitcoin Rally Lifts MSTR To $137.40, Schiff Blames Short-Covering

Strategy shares climbed to $137.40 as Bitcoin (BTC) moved above $80,000, but Peter Schiff renewed his “death spiral” warning while Michael Saylor answered with a bullish video.

Key Points:

• MSTR reached $137.40 during Bitcoin’s latest rebound above $80,000.
• Schiff said short-covering may explain part of the stock rally and maintained his “death spiral” thesis.
• Saylor responded by posting an AI-generated video of himself riding a bull.

MSTR Rally

MSTR rose sharply on Thursday as Strategy extended a rebound that began in early August, moving alongside Bitcoin’s recovery. Schiff questioned whether the move reflected lasting demand, suggesting instead that short sellers closing positions may have helped drive the advance.

Schiff wrote on X, “Not sure what’s behind today’s sharp $MSTR rally, though I suspect short-covering has a lot to do with it.”

He added that he still stood by his “death spiral” thesis, even if Strategy’s “life expectancy has been extended a bit by the temporary Bitcoin rally.” His argument focuses on preferred stock dividend obligations that the company partly funds through new share issuance.

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Schiff Warning