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    MSTR Stock Slips After S&P 500 Rejection Despite Bitcoin Bet

    Story Highlights
    • MicroStrategy (MSTR) was denied S&P 500 entry, despite meeting key requirements, while Robinhood, AppLovin, and Emcor Group were added.

    • MSTR stock fell nearly 3%, while investors now look to the September 17 Fed meeting for possible rate cuts that could support Bitcoin and MSTR.

    The crypto and stock markets opened on edge today, with traders waiting for the Federal Reserve’s next rate move. Bitcoin is holding near $110,776 after a rough week, while U.S. equities continue to swing between gains and losses.

    MicroStrategy’s S&P 500 Snub

    MicroStrategy (MSTR), the biggest corporate holder of Bitcoin under Michael Saylor, was widely expected to join the S&P 500. The company ticked key boxes—market cap, liquidity, and public float.

    But instead of MSTR, the index committee chose Robinhood (HOOD), AppLovin, and Emcor Group.

    Bloomberg analyst Eric Balchunas criticized the decision, suggesting a hidden hand behind it:

    “The S&P committee acts more like a shadow active fund than a rules-based index.”

    He also compared this move to past delays faced by Tesla and Microsoft before their inclusion.

    MSTR Price Drop and Investor Concerns

    The rejection hit MicroStrategy stock hard. Shares fell almost 3% in after-hours trading, slipping below $330 and raising fears of a drop toward $300.

    Analysts warn that missing the S&P 500 means missing a surge of ETF and index-fund buying. This not only costs MSTR fresh capital inflows but also risks damaging its credibility on Wall Street, despite its massive Bitcoin treasury.

    Robinhood Secures the Spotlight

    While MSTR faces disappointment, Robinhood’s S&P 500 inclusion is a big win. Joining the index boosts:

    • Visibility with mainstream investors
    • Credibility among institutions
    • Trust in its long-term growth

    It’s a strong milestone for a platform that became a favorite of retail traders during the pandemic.

    Next FOMC Meeting

    The focus now shifts to the September 17 FOMC meeting. If the Fed cuts rates, liquidity could flow into risk assets like Bitcoin and MicroStrategy stock. But until then, investors are left asking: Did politics and discretion matter more than financial criteria in the S&P’s decision?

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