Bitcoin Frenzy: Are These 3 Companies Repeating the Mistakes of 1999?

The NASDAQ 100 and S&P 500 are showing similarities to the 2000 internet bubble, with high valuations and complacency. Companies like MicroStrategy, AMC, and GameStop are pivoting to Bitcoin investments, reminiscent of the dot-com bust. These moves may lead to speculation rather than strategy, risking significant losses for shareholders.

MicroStrategy has transformed into a Bitcoin holding company, acquiring over 597,000 BTC valued at more than $64 billion by issuing new stock. Their reliance on Bitcoin and lack of revenue cushion mirrors the dot-com bubble. Shareholders are essentially investing in an ultra-leveraged Bitcoin fund with no safety net, risking losses if Bitcoin drops.

AMC, struggling in the movie theater business, reported a $202 million loss in Q1 2025. In an attempt to boost its valuation, AMC is issuing stock to buy Bitcoin, hoping for a cryptocurrency bull run to save the company. However, this move may not be sustainable, and investors should be cautious of falling for this speculative scheme.

GameStop, known for the meme stock frenzy, raised capital through convertible notes and invested over $500 million in Bitcoin. While this strategy may benefit early investors if Bitcoin rises, the core retail business continues to lose money. Share dilution through stock issuance may mask the company’s financial struggles, potentially leading to significant losses for shareholders.

Read more at Nasdaq: 1999 Again? The Danger of These 3 Companies Making Bitcoin Bets