Well, MicroStrategy (MSTR) suffered a fairly heavy loss today, with the price falling by more than 7% following Bitcoin's slight downturn. If you keep an eye on crypto stocks, then you'd probably have expected this to happen since MSTR's performance is basically always in sync with that of Bitcoin (the two have a correlation of about 78%, which is an extremely high figure).

What actually happened?

Basically two things hit the stock at the same time:

 After its recent price rise, Bitcoin momentarily slowed down.

 MicroStrategy has announced a further raising of $2 billion through the sale of approximately 18.26 million shares.

It isn't always a bad thing to have raised $2B—they actually put that money into increasing their USD Cash liquidity pool and their preferred-share repurchases. Moreover, their large holdings of 840,447 BTC have once again moved into profit following Bitcoin's most recent 24% rise.

The real question for investors

The current issue is whether or not all this stock dilution is worth the potential gain. Each time they issue more shares in order to purchase crypto or to build up cash reserves, the existing shares become a little more diluted. On the other hand, they do own a huge amount of Bitcoin.

In my opinion, days such as this are merely normal volatility in the crypto market, since people are taking some of their profits after the big rally, something that always occurs.

What do you all think about it—are you holding on to MSTR or have you just gone ahead and bought Bitcoin directly? Let me know what you think in the comments below!