MicroStrategy, known for holding the most Bitcoin among corporations, is now joining the MSCI World Stock Index after a remarkable rise in 2023 and early 2024. Its stock, MSTR on NASDAQ, has performed better than Bitcoin, with a recent 4.15% surge on May 14, just below $1,300.

The move into the MSCI index is seen as a big boost for MicroStrategy. MSCI Inc. announced that MicroStrategy, a significant maker of enterprise software, is now among the top three additions to the MSCI World Index based on its market value. This signals the increasing inclusion of cryptocurrency exposure in traditional investment portfolios, reflecting the growing importance of crypto assets in investment strategies.

MicroStrategy's co-founder, Michael Saylor, is renowned for championing Bitcoin. During the Covid-19 crisis, the company made headlines by investing a portion of its cash reserves into Bitcoin, holding a substantial 214,400 Bitcoins as of April 26.

The past year has seen MicroStrategy's stock price quadruple, outpacing the rise of Bitcoin by 130%. However, despite reaching $1,919 when Bitcoin hit $74,000, it has since dropped over 30% in a strong pullback. MicroStrategy investors often see it as a way to indirectly hold Bitcoin, but the launch of Bitcoin ETFs in the US this year has challenged its dominance.

In March, Kerrisdale Capital Management LLC announced plans to short MicroStrategy's stock, citing its rapid growth surpassing the surge in Bitcoin's price. Currently, four analysts rate MicroStrategy as a buy, with an average 12-month price target of $1,678.75, nearly 30% higher than its current level, according to Bloomberg data.

MicroStrategy's entry into the MSCI World Stock Index could signal a new chapter for the company, potentially leading to further price surges as it becomes more integrated into traditional investment portfolios.