Mizuho has lowered its price target for Strategy while maintaining an outperform rating, signaling that it still expects MSTR shares to climb above the $200 level despite the company’s recent Bitcoin sale.

Mizuho reduced its price target on Strategy to $213 from $265 after revising its Bitcoin price forecast to $71,500 by the end of 2027. Even with the lower target, the brokerage kept its outperform rating, indicating that it continues to see substantial upside for the Bitcoin treasury company’s stock.

The revised target follows Strategy’s decision to sell 3,588 Bitcoin for about $216 million, a transaction the company said would help fund dividend payments tied to its digital credit securities. After completing the sale, Strategy held 843,775 BTC alongside approximately $2.55 billion in U.S. dollar reserves.

Although the announcement initially weighed on market sentiment, MSTR recovered as Bitcoin rebounded above $63,000. The stock closed back above the psychological $100 level and traded around $101 in premarket trading, according to Yahoo Finance. Even so, MSTR remains down more than 34% since the start of the year as Bitcoin has struggled through the current bear market.

Analysts still expect substantial upside

Mizuho’s revised forecast comes as analysts continue to debate whether Strategy’s Bitcoin sale should be viewed as a sign of weakness or disciplined financial management. While the brokerage adjusted its long-term assumptions for Bitcoin prices, it did not change its positive stance on the stock.

Supporting that interpretation, Grayscale Research argued in a July 6 report that investors may have misread the transaction. As previously reported by crypto.news, the research firm said the sale strengthened Strategy’s financial position rather than signaling financial distress.

According to Grayscale Head of Research Zach Pandl, the company’s financing structure remains well supported despite concerns raised by some market participants. The report was published after Bitcoin briefly fell toward the $61,000 level following news of the sale before recovering above $63,000.

Grayscale also argued that improving Strategy’s balance sheet could reduce concerns surrounding its financing model while creating conditions for a more stable Bitcoin market over time.

Bitcoin sale fuels S&P 500 inclusion debate

Beyond the balance sheet impact, several market commentators believe the transaction could improve Strategy’s chances of joining the S&P 500.

Crypto researcher Ignas argued that the sale demonstrates Strategy’s ability to generate liquidity during periods of Bitcoin weakness, something he believes could satisfy concerns previously raised by S&P Global.

According to Ignas, inclusion in the index would require passive index funds to purchase MSTR shares, potentially creating additional demand for the stock. He also suggested Strategy could eventually repurchase the Bitcoin it sold if such inclusion materializes.

Crypto commentator Zayn reached a similar conclusion. He argued that Strategy has addressed several issues that critics previously highlighted by building a sizeable U.S. dollar reserve, repurchasing convertible debt, and using Bitcoin sales to meet dividend obligations instead of relying on additional borrowing.

According to Zayn, those steps weaken claims that the company’s financing model resembles a Ponzi scheme while demonstrating continued access to capital markets during a prolonged Bitcoin downturn.

Even after lowering its valuation target, Mizuho’s latest note indicates the firm believes those financial changes leave room for MSTR shares to recover well beyond current trading levels if Bitcoin’s long-term outlook improves.

TLDR:

• Ethereum price forecast remains focused on the $1,800 zone, where about 4.30 million ETH previously changed hands.
• ETH could target $1,980 and $2,079 if buyers reclaim the high-volume resistance area with stronger spot demand.
• Binance ETH reserves have increased since late June, raising concerns about more available supply on the exchange.
• Derivatives data has improved, but flat open interest shows the latest ETH rebound is not mainly leverage-driven.

Ethereum price forecast remains locked around the $1,800 level as buyers attempt to reclaim a major resistance zone. ETH recently traded near $1,780 after a sharp rebound from late-June lows. The move has improved short-term sentiment, but the structure still lacks broad confirmation.

Roughly 4.30 million ETH changed hands near $1,800, based on the UTXO Realized Price Distribution data. That makes the level a major supply area. A clean reclaim could open a move toward $1,980 and $2,079. A rejection may expose thinner volume below, with the next support baseline near $1,237.

Ethereum Price Prediction Faces the $1,800 Supply Wall

Ethereum price prediction now depends on how ETH reacts near the $1,800 resistance band. The zone has become important as both volume profile data and moving averages align near the same area.

ETH also faces pressure from the 50-day exponential moving average near $1,806. The 100-day EMA sits higher near $1,970, close to the next major upside target. This keeps the recovery below the medium-term structure for now.

The daily chart shows a constructive but incomplete recovery. The RSI near 57 points to improving momentum, but it does not confirm a full bullish shift. The stochastic reading near 86 also shows that short-term upside could be stretched.

Immediate support sits near $1,741, followed by the 20-day EMA around $1,713. Deeper support levels stand near $1,524 and $1,405 if sellers regain control. A larger breakdown would bring the $1,156 area back into focus.

Ethereum price prediction would turn stronger if ETH closes above $1,806 with rising demand. The next upside levels would then sit around $1,909, $2,018, $2,108, and $2,211.

ETH Price Signals Show Demand Is Still Selective

Binance ETH reserves have increased from 3.64 million to 3.87 million since late June. That marks an increase of about 221,000 ETH, or 6.1%. Rising exchange reserves can point to higher potential sell-side liquidity.

The order-size data adds a cautious signal. ETH Average Order Size has moved into “Whale Left” territory, according to CryptoQuant analysis. That suggests larger participants are reducing their market footprint.

This creates a weaker setup beneath the recent rebound. More ETH is available on Binance, while whale-sized demand has not returned strongly. Ethereum Price Forecast therefore remains sensitive to any failed breakout near $1,800.

Derivatives data looks more positive, but it does not show excessive leverage. Ethereum has gained about 14% since Net Taker Volume turned positive on June 28. Positive Net Taker Volume signals stronger buying pressure in perpetual markets.

Open interest has stayed mostly flat across the rebound. The estimated leverage ratio has also failed to rise sharply after its June decline. That suggests the move is not driven by aggressive leveraged longs.

This lowers the risk of a major long squeeze, but it also shows caution among traders. ETH needs stronger spot demand and whale participation to confirm a healthier trend. Meanwhile, US spot ETH ETFs have recorded three straight days of net inflows, adding some support to sentiment.

The U.S. Securities and Exchange Commission has added three major crypto-related rule proposals to its 2026 regulatory agenda, expanding its work on digital asset regulation while Congress continues to debate the CLARITY Act.

According to the SEC’s Agency Rule List, the commission is considering separate rulemaking projects covering crypto assets, crypto broker-dealers, and crypto market structure. Together, the proposals would address how digital assets are issued, traded, and handled by regulated financial firms, while providing new guidance in areas that have long lacked clear federal rules.

The proposal covering crypto assets would explore regulations for the offer and sale of digital assets, including potential exemptions and safe harbors. The SEC said these measures could clarify the regulatory framework for crypto assets and provide more certainty for market participants.

The initiative follows the commission’s recently proposed innovation exemption, which would allow eligible firms to issue and trade tokenized U.S. stocks under specific conditions.

New rules extend across crypto trading and broker-dealers

Another proposal focuses on broker-dealers that deal with crypto assets. The SEC’s Division is considering recommending amendments to Rules 15c3-1 and 15c3-3, along with other broker-dealer financial responsibility rules and Rules 17a-3 and 17a-4, to address how existing requirements apply to digital assets.

Earlier this year, the SEC also outlined conditions under which certain decentralized finance platforms could operate without registering as broker-dealers. At the same time, the commission is separately seeking public comments on several novel exchange-traded fund proposals, including prediction market ETFs.

A third proposal listed in the regulatory agenda concerns crypto market structure. Under the plan, the Division is considering recommending amendments to Exchange Act rules governing the trading of crypto assets on alternative trading systems (ATSs) and national securities exchanges.

Speaking previously about the agency’s regulatory direction, SEC Chair Paul Atkins said the commission is embracing innovation by bringing more financial products onshore, creating clearer capital-raising rules for crypto businesses, and providing regulatory clarity for tokenized securities.

Atkins linked those efforts to President Donald Trump’s stated objective of making the United States the world’s crypto capital.

Congress continues work on the CLARITY Act

While the SEC advances its own rulemaking process, lawmakers are still negotiating the CLARITY Act, one of the most significant crypto market structure bills under consideration in Congress.

The legislation did not become law before the previously discussed July 4 timeline, despite earlier optimism expressed by White House crypto adviser Patrick Witt. Attention has now turned to Aug. 7, the Senate’s final scheduled session day before lawmakers leave for the summer recess.

Crypto.news previously reported that the CLARITY Act has already passed the House of Representatives, cleared the Senate Banking Committee, and remains on the Senate calendar awaiting a full Senate vote.

Before floor consideration can proceed, Senate staff are still reconciling separate versions produced by the Agriculture and Banking Committees because both panels oversee different parts of digital asset policy.

More recently, crypto.news reported that Senator Bill Hagerty outlined a revised Senate roadmap that could see final legislative text released before lawmakers return from recess. Bloomberg Intelligence has estimated the bill has roughly a 60% chance of passing this month.

Still, crypto.news has also reported that the legislation will likely require 60 Senate votes, meaning Republican lawmakers will need Democratic support before the proposal can move closer to President Trump’s desk.

Kraken has secured a $22 million arbitration award against its former auditor Mazars USA, with co-CEO Arjun Sethi linking the dispute to what he described as Operation Chokepoint 2.0.

According to a letter published Tuesday by Kraken co-CEO Arjun Sethi, parent company Payward has asked the Delaware Court of Chancery to enter judgment on the arbitration award after prevailing against Mazars USA. The dispute centers on the firm’s withdrawal from Kraken’s nearly completed 2022 audit, which Sethi said caused financial damage to the exchange.

Sethi wrote that Mazars ended the engagement despite finding no fraud, raising no concerns about Kraken’s management and reporting no disagreements with the company. He argued that the decision disrupted access to banking relationships, licensing processes and other essential business services that rely on completed independent audits.

Describing audits as critical infrastructure for financial companies, Sethi wrote that “an audit is not a favor. It is oxygen,” while arguing that lawful crypto firms were denied access to basic financial services during the period.

Sethi ties audit dispute to regulatory pressure

In the letter, Sethi attributed Mazars’ withdrawal to Operation Chokepoint 2.0, a term used by parts of the crypto industry to describe alleged coordinated pressure on banks, auditors and service providers to distance themselves from digital asset companies.

To support that argument, the letter pointed to several regulatory developments during 2023. These included joint guidance issued by U.S. banking regulators, the Securities and Exchange Commission’s since-rescinded Staff Accounting Bulletin No. 121, and the collapse of crypto-focused banking networks Silvergate SEN and Signature Bank’s Signet payment system.

Sethi also urged Congress to pass the CLARITY Act, saying a dedicated crypto market structure law would provide clearer operating rules for digital asset companies instead of relying on enforcement actions.

Offering his own reaction on X, Kraken co-CEO Dave Ripley said the arbitration case represented only part of what happened during that period. Ripley described the $22 million award as compensation for financial harm that he said resulted from a coordinated campaign against the crypto industry.

Meanwhile, U.S. regulators have continued reviewing banking oversight tied to digital assets. In February, the Federal Reserve requested public feedback on a proposal to remove “reputation risk” from bank supervision after its 2025 directive instructing supervisors to stop pressuring banks to close customer accounts over reputational concerns. Critics of the previous framework argued the proposal could help end practices associated with Operation Chokepoint 2.0.

Kraken expands products while IPO plans continue

Even as the legal dispute moves through the Delaware court, Kraken has continued adding new institutional and trading products.

As previously reported by crypto.news, the exchange recently began allowing eligible users outside the United States to use selected tokenized stocks and exchange-traded funds as collateral for futures and margin trading on Kraken Pro.

The launch covers 10 xStocks assets, including SPYx, QQQx, AAPLx, GOOGLx, TSLAx, NVDAx, HOODx, MSTRx, GLDx and CRCLx, allowing traders to back leveraged crypto positions without selling those holdings.

The collateral initiative follows other recent product launches. In May, Payward partnered with Franklin Templeton to introduce tokenized money market products for collateral and cash management on Kraken. A month later, Kraken and Maple launched an institutional crypto lending structure using a bankruptcy-remote vehicle for crypto-backed loans.

Founded in 2011, Kraken has also been preparing for a public listing. The company disclosed in November 2025 that it had confidentially submitted a draft Form S-1 registration statement to the U.S. Securities and Exchange Commission.

However, reports published in May said the IPO may be delayed until 2027 because of weaker crypto market conditions and ongoing cost-cutting efforts.

Nigel Farage has resigned as a Member of Parliament after confirming he will seek re-election in a by-election while facing scrutiny over multimillion-dollar gifts from figures linked to the crypto industry.

According to statements Farage made during an X livestream on Tuesday, the Reform UK leader stepped down as the MP for Clacton so local voters could decide whether he should continue representing the constituency while parliamentary investigations into his financial declarations continue.