Key Highlights

● Citi raised its price target on Strategy to $240 from $136; B. Riley lifted its target to $195 from $175.

● Strategy holds 847,666 bitcoin, making it one of the largest corporate holders of the cryptocurrency.

● Bitcoin itself was choppy, briefly nearing $87,000 before fading to about $85,800.

Strategy climbed on Monday, Oct. 5, after Citi raised its price target on the bitcoin-holding company to $240 from $136, even as bitcoin itself faded through the day.

A big target bump

Strategy (NASDAQ:MSTR) climbed on the Nasdaq-100 on Monday after Citi raised its price target on the stock to $240 from $136. B. Riley also lifted its target, to $195 from $175.

Strategy, formerly known as MicroStrategy, holds 847,666 bitcoin, making it one of the largest corporate holders of the cryptocurrency. Its shares tend to move with bitcoin, so analyst views on the stock are closely tied to views on the digital asset.

Retail traders were upbeat too. Sentiment on Stocktwits was bullish on Strategy and neutral on bitcoin itself.

Bitcoin's choppy day

Strategy rose even though bitcoin's day was choppy. The Cryptocurrency climbed back above $86,000 in the morning and briefly neared $87,000, but it failed for a second time to break its late-September peak of about $87,400.

It then faded. Closing data showed bitcoin at about $85,796.74, with other sources putting it near $85,150. Bitcoin remains well below its October 2025 record of more than $126,000.

Crypto-linked stocks such as Coinbase, Circle and BitMine were higher before the open.

Fund flows offered some support. Spot bitcoin ETFs took in $241.1 million in the week to Oct. 2, a third straight week of inflows, with BlackRock's iShares Bitcoin Trust drawing around $450 million. Spot ether ETFs lost $138 million over the same period.

Riya Sehgal, a research analyst at Delta Exchange, sees support for bitcoin around $85,000 to $85,500 and said a sustained move higher could bring $90,000 into focus.

Records on the Nasdaq

The broader market was strong. The Nasdaq-100 closed at a record 31,076.44, and the Nasdaq Composite jumped 286.45 points to a record 27,477.31. The S&P 500 added 51.23 points to 7,773.95, just shy of its summer record. The Dow rose 90.94 points to 51,267.90.

Mega-cap AI names did the heavy lifting, led by Nvidia's (NASDAQ:NVDA) record close. Friday's weak September jobs report, with payrolls up just 29,000, cut bets on an October Fed hike, which helped risk assets.

But the 10-year Treasury Yield still climbed to its highest level since 2002 after the ISM services prices-paid index hit 74.0, the highest since July 2022. Higher yields can weigh on Assets like bitcoin that pay no income.

Why the dollar matters

The US Dollar Index rose to 102.19 and hit its highest intraday level since April 2025. A firmer dollar can make life harder for bitcoin and other alternative assets. Gold hovered near $4,160 an ounce, while silver led the metals higher.

Analyst targets are opinions, and they can change quickly when bitcoin swings. Still, the higher targets from Citi and B. Riley gave investors a more upbeat read on the stock.

Because Strategy's Business centers on buying and holding bitcoin, its shares often swing harder than the cryptocurrency itself, in both directions.

What to watch

Minutes from the Fed's September meeting are due Wednesday, Oct. 7 at 2 p.m. ET and could shape rate expectations, which matter for crypto. The Fed meets again Oct. 27 to 28.

Stocktwits' Stocktoberfest event runs Oct. 5 to 7 in New York, keeping retail attention on crypto names. For Strategy, the next catalyst is the company's next Quarterly Report and any change in its bitcoin holdings.