Strategy’s MSTR stock may rally more than 80% in the coming months despite suffering a net loss of $12.54 billion in the first quarter of 2026.
Key takeaways:
- The strategy’s MSTR is forming an ascending triangle pattern, which points to a potential move towards the $350 level.
- Canaccord raised his MSTR price target to $224 from $185, citing Bitcoin’s rebound and Strategy’s financial structure.
MSTR Textbook Bullish Reversal Setup Targets $350
On Friday, MSTR was trading inside what appeared to be an ascending triangle, a technical pattern that forms when the price makes higher lows below a flat resistance zone.
Those higher lows are a sign that buyers are more confident. Every time MSTR pulls back, it stops falling earlier than before, showing that buyers are stepping in earlier without expecting a deeper drop.
MSTR weekly chart. Fountain: TradingView
Ascending triangles usually resolve when the price breaks above the upper trend line and rises to the maximum height of the structure.
Applying this technical rule to the MSTR chart raises its bullish target to around $350 in 2026. The bullish target, roughly 80% higher than the current price level, aligns with the 0.236 Fibonacci retracement line.
Analyst Kevin Fx said MSTR could rise to the $250 to $300 range, citing an inverse head and shoulders (IH&S) pattern.
MSTR weekly chart. Source: TradingView/Kevin Fx
Conversely, a pullback from the upper trendline of the ascending triangle may push MSTR into a multi-week downtrend towards its lower trendline around $150. A break below $150 risks completely invalidating bullish setups.
Canaccord raises its MSTR price target to $224
Earlier this week, Canaccord, a Canada-based investment banking giant, also raised its price target on MSTR to $224 from $185, reiterating its Buy rating.
The investment bank highlighted MSTR’s 80% rally since February, saying the company had weathered another storm as Bitcoin recovered above $80,000 from lows of nearly $60,000 during the same period.
Fountain: unknown
Canaccord also highlighted Strategy’s preferred stock financing model, such as STRC, as an important part of that resilience. The product allows the company to raise fresh capital for Bitcoin purchases without relying as much on new issuance of common stock.
The issuance of additional shares of MSTR common stock may dilute existing shareholders. On the other hand, preferred shares give Strategy another way to fund its Bitcoin accumulation strategy with less pressure on its principal capital.
Related: Samson Mow defends strategy of selling parts of his Bitcoin treasury
Meanwhile, Strategy has increased its Bitcoin exposure for each shareholder. Despite posting a loss of $12.54 billion in the first quarter, it purchased 89,599 BTC in the first three months of 2026, bringing its total holdings to 818,334 BTC at an average cost of $75,537.
Fountain: unknown
Its BTC per share metric also increased 18% year over year, showing that the company is adding value to each MSTR share in addition to growing its BTC balance sheet.
