MicroStrategy, led by Michael Saylor, has a good chance of being included in the S&P 500, provided that Bitcoin's price does not drop by more than 10% by the end of the second quarter.
MicroStrategy's Chances of S&P 500 Inclusion
Financial analyst Jeff Walton stated that the probability of MicroStrategy qualifying for the S&P 500 is 91% if Bitcoin does not fall below $95,240 before June 30.
Requirements for Qualification
To be eligible for inclusion in the S&P 500, companies must demonstrate positive earnings over the past four quarters. MicroStrategy has reported losses in the last three quarters, making the stability of Bitcoin prices crucial.
Market Conditions Impacting MicroStrategy's Chances
Walton noted that as the end of June approaches, the likelihood of Bitcoin not dropping by 10% increases. However, recent geopolitical events may exert pressure on cryptocurrency prices.
If Bitcoin's price holds firm, MicroStrategy could become the second cryptocurrency firm to join the S&P 500, following Coinbase.
