BTC broke through 80,000 and hit short: the three major crypto stocks became the hardest hit area

According to Woofun AI, the CRYPTO:BTC price strongly broke through the $80,000 mark, triggering severe market shocks. In this context, NASDAQ:MSTR, NASDAQ:ASST, and NASDAQ:COIN were marked by S3 Partners' latest data as core targets that are likely to face the risk of being overrun due to their high shorting ratio.

The root cause is a structural shift in hedging strategies. Although the shorting ratio of IBIT (BlackRock Bitcoin ETF) remains low, indicating that investors are not directly shorting the Bitcoin ETF, Woofun AI compiled data showing that funds are concentrating on shorting BTC stocks (such as MSTR.US), Strive (ASST.US)) or large exchanges (such as Coinbase (COIN.US)) or large exchanges (such as Coinbase (COIN.US)) on the balance sheet to avoid the risk of BTC rising.

This alternative hedging method has made the above three stocks the hardest hit area for risk accumulation.

Looking at the correlation structure, Strive (ASST.US), MicroStrategy (MSTR.US), and Coinbase (COIN.US) stock prices all had a correlation of more than 0.7 with BTC prices, while the correlation with S&P 500 and NASDAQ 100 was significantly lower.

It is worth noting that although Strive (ASST.US) is smaller and less focused, it has a higher shorting ratio, and has increased by 33.9% in the past month, with a cumulative increase of 210% over the past six months. This combination of high volatility and high shorting ratio makes it occupy a special position in the risk map.

Currently, about 26% of Strive (ASST.US) shares are shorted. Given its extremely high correlation with the BTC price, if BTC rebounds again, Strive (ASST.US) is likely to become a high-risk target. Considering that cryptocurrencies and related stocks have maintained high volatility over a long period of time, this potential risk of market trampling cannot be ignored. This is a sign that structural shorting pressure is once again facing severe tests after many previous rounds of market conditions.