Citron said it had hedged its perspective with a short position against MicroStrategy, even though it maintained a positive outlook on BTC. Supported by robust investor attitude toward BTC markets, MicroStrategy shares remain up 78% from Election Day and have gained 529% YTD despite Thursday's selloff.

Citron Research has taken a short position in MicroStrategy , the company said in a post on social media platform X on Thursday.

MicroStrategy shares are down from record levels in Thursday trading after Citron Research said it shorted the stock against a long position in Bitcoin.“Much respect to @saylor, but even he must know $MSTR is overheated,

MicroStrategy Inc shares tumbled after Andrew Left’s Citron Research said in a post on X that it’s betting against the software company, which has effectively transformed itself into a Bitcoin investment fund.

Famed investor dubs Bitcoin a winner as he picks it over MSTR. Citron recently revealed a short position in MicroStrategy stock.

MicroStrategy (NASDAQ:MSTR) slumped 16.2% to $397.28/share on Thursday, reversing earlier gains that saw shares rise nearly 15%, after activist short seller Andrew Left's Citron Research bet against the "overheated" stock.

Citron Research has voiced concerns over MicroStrategy's current valuation, even as the software company's shares have seen exponential growth fueled by its Bitcoin strategy. In a tweet on Thursday, the research firm reflected on

Shares of MicroStrategy Inc. ($MSTR) attracted significant attention among investors on Stocktwits Thursday, becoming the platform’s top trending symbol after short-seller Citron Research revealed it had taken a short position on the stock.