"Institutional confidence in Strategy weakening…CMF flatlining near zero"

On the 26th (local time), crypto-focused media outlet BeInCrypto reported that Strategy’s (MSTR) Chaikin Money Flow (CMF) indicator is moving sideways near the zero line.

CMF measures the strength of capital inflows and outflows over a given period; when it is in negative territory (-), it indicates selling pressure is stronger than buying interest.

The outlet said, “Strategy’s share price has recently tracked a pattern similar to Bitcoin (BTC),” adding that “this shows Strategy is still being traded like a leveraged Bitcoin proxy.”

In particular, it explained that when Bitcoin’s price stalls or weakens, Strategy shares tend to fall more quickly. The interpretation is that expectations of upside from its Bitcoin holdings have already been substantially priced into the company’s valuation.

It also added, “The fact that the CMF has recently been unable to establish a direction near zero suggests institutional investors are holding off on buy or sell decisions,” and that “this may be a sign that confidence in the stock itself is weakening.”