Metaplanet’s Bitcoin Strategy Faces Market Risks As Stock Surges 330%, Experts Urge Caution
According to Arkham Intelligence, a cryptocurrency exchange platform and public data application, the company with a strategic focus on Bitcoin, Metaplanet, received another test transaction a few hours ago.
A test transaction typically involves a small, initial movement of funds conducted to verify that the system operates as intended before committing larger sums of capital. In the case of Metaplanet, this transaction could be related to the process of adding Bitcoin to its treasury. The company may be testing the execution of on-chain transactions, confirming their accuracy, and ensuring proper tracking and reporting within its internal systems.
In recent months, Metaplanet has consistently acquired Bitcoin as part of its broader strategy to incorporate the leading cryptocurrency as a reserve asset for its treasury. The company stated that this decision was made to protect against the challenging economic conditions in Japan, where the national currency has faced depreciation against the US dollar.
As per the data from CoinGecko, the company’s continuous Bitcoin purchases have helped position it among the top 20 public companies holding Bitcoin.
Just last week, the Tokyo-listed firm acquired an additional 463 BTC for $53.7 million, continuing its strategy of accumulating the world’s largest cryptocurrency. This brings the total amount of Bitcoin held by the company to 17,595 BTC, which was acquired for roughly $1.78 billion at an average price of $101,422, as confirmed by its CEO, Simon Gerovich.
This acquisition followed Metaplanet‘s recent announcement of plans to raise up to 555 billion yen or $3.7 billion US dollars by issuing new perpetual preferred shares to further support its Bitcoin-buying strategy.
Metaplanet’s 330% Stock Surge Raises Concerns Of Market Risk
As noted by Maksym Sakharov, co-founder and CEO of WeFi, a decentralized on-chain bank, while Metaplanet’s stock has seen a 330% increase over the past year, it may be wise to consider a pause or more cautious approach at this point.
“On-chain data indicates elevated leverage and open interest, while the daily RSI is flashing toward overbought territory amid greedy conditions, signaling a market ripe for shakeouts. Technical desks already see Bitcoin stalling in the $120k–130k band and warn of swift corrections if sentiment turns,” he told Mpost.
“Against that backdrop, another jumbo ticket raises concentration risk: a $20k retrace would vaporize nearly a third of today’s outlay. Strategically, pausing or at least switching to staggered, cash-financed purchases could preserve liquidity and reassure investors that the firm isn’t over-gearing itself at peak euphoria. In short, confidence is admirable, but discipline now might save pain later,” he added.
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