While Bitcoin’s price and market sentiment have cooled down recently, Fong Reh, the CEO of Strategy, believes that the underlying factors for Bitcoin are stronger than ever.
Is Bitcoin ready for a breakout in 2026?
As the year winds down, the perspective on Bitcoin and the overall crypto landscape is, well, somewhat cautious. However, some analysts are predicting a potential bullish twist for investors in 2026.
Bitcoin reached an all-time high of $126,080 on October 5, but has since dropped about 29%, trading at $86,903 according to CoinGecko. Meanwhile, the Crypto Fear & Greed Index, which assesses market sentiment, has been stuck in “extreme fear” since December 12.
According to Lu, many fundamental aspects of the Bitcoin market look very promising this year. In a podcast interview on December 23, he made it clear that he’s unfazed by Bitcoin’s short-term fluctuations.
The Strategy CEO remarked that Bitcoin’s pricing “operates effectively” and urged investors to think long-term.
“If you’re investing, you should consider the asset class over the long haul,” he mentioned.
Lu also stated that Bitcoin investors need to adopt a “systematic and mathematical” approach to the often unpredictable short-term pricing of BTC.
“That’s why we focus on mNAV and why we’re establishing a Bitcoin and USD treasury,” he clarified.
Currently, Strategy holds about 671,268 Bitcoins, valued roughly at $59.6 billion, reinforcing its status as the largest Bitcoin treasury globally. The company has also set aside $1.4 billion to ensure shareholder dividends.
Bullish catalyst for 2026
Lu argues that the fundamental factors for Bitcoin’s long-term prospects are robust, as the U.S. government is increasingly supporting Bitcoin.
He added that he and Strategy’s executive chairman, Michael Saylor, are in discussions with conventional banks in the U.S. and the UAE to help institutions adapt.
“When you consider what’s unfolding among the global powers — the U.S. government and banking systems are embracing Bitcoin. This is a highly positive signal for this year and leading into 2026,” Lu stated.
Interestingly, U.S. President Donald Trump, back in March, directed the creation of a Strategic Bitcoin Reserve to manage assets the government seizes. He also suggested the acquisition of various digital assets, though formal plans haven’t yet been disclosed.
