Bitcoin (CRYPTO: BTC) is back under pressure after breaking below $75,000, and veteran investor Mark Yusko is not sugarcoating it. The founder of Morgan Creek Capital Management says the recovery trend has weakened, and part of the worry centers on Strategy (NASDAQ: MSTR) potentially getting booted from major indexes.
In an interview with crypto commentator Scott Melker, Yusko explained that Bitcoin's latest slide has disrupted the pattern of higher highs and higher lows that had been propping up its recovery. Before this drop, he said, Bitcoin had been transitioning from a distribution phase into an accumulation phase. That story is now harder to tell.
"A lower low is a lower low," Yusko said, making the point that technical weakness matters regardless of what caused it.
So what is causing it? Yusko laid out several culprits:
- Stock market leverage: Heavy exposure to leveraged ETFs and options has raised the risk of forced selling.
- Margin calls: Investors nursing losses in equities may sell liquid assets like BTC and gold to raise cash.
- Algorithmic trading: Momentum-driven selling can amplify Bitcoin's decline.
- Hedge fund deleveraging: Yusko suggested that reduced risk-taking at major trading firms could add pressure.
Could Strategy's Index Exclusion Hurt Bitcoin?
Yusko also weighed in on concerns that Strategy (NASDAQ: MSTR) could be excluded from MSCI indexes, with an estimated $3 billion to $8 billion in fund flows at risk. He questioned why Strategy should face different index rules than investment-heavy companies like Berkshire Hathaway.
That said, the estimates reflect potential exposure, not confirmed selling. The actual impact depends on index providers and passive investors, so treat the numbers as a warning flag rather than a done deal.
Bitcoin Remains An Attractive Buy
Even with the technical breakdown, Yusko is sticking with Bitcoin's historical four-year market cycle. He sees Bitcoin as having moved from its bear-market winter into a volatile spring phase, with stronger upward momentum potentially emerging in 2027 ahead of the 2028 halving.
And if prices keep sliding? Yusko suggested Bitcoin could remain attractive for long-term accumulation even if it declines toward $69,000 or $65,000. In other words, the short-term chart looks ugly, but the long-term case is still alive in his view.
