Strategy stock is falling due to the falling price of Bitcoin. The stock’s gap between its market cap and underlying cryptocurrency investments has closed. Investors should invest directly in Bitcoin instead of buying Strategy stock to make their lives easier. Shares of Strategy (NASDAQ: MSTR) tumbled 14.4% this week, with Bitcoin briefly slipping to around $80,000 before recovering to $85,000.

Beginning in 2020, Strategy raised funds to buy Bitcoin on its balance sheet, resulting in a 667% stock increase over the last five years. However, the gap between NAV and market cap is narrowing, with Strategy stock down 43% this year and Bitcoin only down 10%. New funding sources like preferred stock are being explored.

Investing in Strategy may not make sense as the gap between stock price and underlying assets closes. It’s simpler to buy Bitcoin directly on a cryptocurrency exchange rather than dealing with Strategy’s debt and share dilution. The Motley Fool Stock Advisor team does not recommend Strategy as one of the 10 best stocks to buy right now.

Consider the history of Stock Advisor recommendations and potential returns before investing in Strategy. The Motley Fool has no position in Strategy but recommends Bitcoin. Don’t miss out on the latest top 10 list from Stock Advisor, with total average returns of 982% compared to the S&P 500’s 185%.

Read more at Nasdaq: Why Shares of Strategy Fell 14.6% This Week