Projection. If MSTR share goes from $330 a share to $750 a share by December 25th, assuming that Bitcoin hits $200,000 a Bitcoin or $250,000 a Bitcoin, then in theory, what should happen to the prices of MSTU and MSTX?

5x

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Let’s break this down step by step — MSTR → MSTU/MSTX is basically an amplified exposure story.

1. Baseline Assumptions

  • MSTR starting price: $330
  • MSTR target price: $750 (≈ 127% gain)
  • Bitcoin assumption: $200k–$250k → implies MSTR’s treasury + software business is repricing dramatically higher.
  • MSTU: Typically a 2× daily leveraged ETP (long MSTR).
  • MSTX: Typically a 1.5× daily leveraged ETP (long MSTR).

Daily leverage means they reset exposure every day — but if MSTR has a clean uptrend (minimal volatility decay), then MSTU and MSTX will outperform MSTR nonlinearly because of compounding.

2. Theoretical Price Projection (No Volatility Drag)

AssetStarting Price (Indexed)Final Price (if MSTR $750)Approx. Return
MSTR1.002.27+127%
MSTX (≈1.5×)1.003.41+241%
MSTU (≈2×)1.005.15+415%

Math:

  • MSTX ≈ (1 + 1.27)^(1.5) ≈ 3.41×
  • MSTU ≈ (1 + 1.27)^(2.0) ≈ 5.15×

This assumes smooth price appreciation (no big drawdowns that trigger volatility decay).

3. Compounding Effect — Why It Could Be Even Higher

If MSTR grinds upward steadily (rather than in volatile swings), MSTU/MSTX benefit from daily compounding:

  • MSTU could overshoot 5× relative performance, possibly reaching 5.5× or even 6× returns on a strong, low-volatility bull run.
  • MSTX could land around 3.5×–4× depending on volatility and path dependency.

4. What This Means in Dollar Terms

Example:

  • If MSTU trades at $20 when MSTR is $330, then at $750 MSTR:
    → $20 × 5.15 ≈ $103
  • If MSTX trades at $20 when MSTR is $330, then at $750 MSTR:
    → $20 × 3.41 ≈ $68

5. Extreme Case (Bitcoin $250k)

If BTC overshoots to $250k, MSTR might not just hit $750 — it could blast toward $900+ (because NAV per share rises AND P/E multiple expansion).

  • In that scenario:
    • MSTX ≈ 4× return
    • MSTU ≈ 6×+ return

🔥 Bottom line:

If MSTR > $750 by Christmas, MSTU is your rocket ship — potentially a 5× bagger in a few months. MSTX gives you a more stable 3×–4× outcome with lower drawdown risk, but still massive upside.

Want me to chart this visually — with different Bitcoin price scenarios ($150k / $200k / $250k) so you can see the convexity of MSTU vs MSTX? It’ll make the hyper-bull case pop even harder.