New leveraged and inverse ETFs are now available, offering investors more options for exposure to MicroStrategy stock. MicroStrategy is a leading software company that holds a significant amount of Bitcoin (BTC/USD). Over the years, it has consistently outperformed major stocks and index funds.

On September 18, 2024, REX Shares and Tuttle Capital Management launched two new ETFs. These are the T-REX 2X Long MSTR Daily Target ETF (MSTU) and the T-REX 2X Inverse MSTR Daily Target ETF (MSTZ). These ETFs provide unique investment opportunities.

What makes these ETFs special? They offer 200% leveraged exposure and -200% inverse exposure to the daily price movements of MicroStrategy (MSTR). This setup allows traders to take advantage of MSTR’s connection to the Bitcoin market.

This launch follows Defiance's introduction of a 1.75X long MicroStrategy ETF and a 1.5X short ETF in August. With the new 2X ETFs, REX and Tuttle are pushing the boundaries even further.

Matthew Tuttle, CEO of Tuttle Capital Management, stated, “These ETFs give traders unparalleled access to MicroStrategy's Bitcoin exposure. Whether you're looking to amplify gains or hedge against market changes, these products are designed for you.”

Greg King, CEO of REX Shares, added that these new ETFs provide tools for traders to engage with a company that is leading in digital assets.

MicroStrategy has shown strong stock performance, gaining 94% year-to-date in 2024 and an impressive 790% over the last five years. The company’s stock is quite volatile, largely due to its significant Bitcoin holdings.

Recently, MicroStrategy announced it purchased $1.1 billion worth of Bitcoin, bringing its total to 244,800 Bitcoin. The firm also raised over $800 million to redeem $500 million in senior secured notes and buy more Bitcoin.

Since starting its Bitcoin acquisition strategy in August 2020, MicroStrategy has committed to continue adding to its Bitcoin reserves. Co-founder and Executive Chairman Michael Saylor has made it clear: their strategy is simple—acquire and hold Bitcoin.

Saylor believes Bitcoin is the best asset available. He has stated, “Everything else in the world is inferior to Bitcoin.” If given $1 million, he would choose to buy Bitcoin over anything else.

He also mentioned that if people are skeptical about Bitcoin, they might consider shorting MicroStrategy stock. On the other hand, those who believe in Bitcoin might want to buy the stock.

Even with various ways to gain Bitcoin exposure through exchanges and ETFs, MicroStrategy remains a popular choice for many investors.

With these new leveraged and inverse ETFs, investors now have more tools to predict the potential movements of MicroStrategy stock. Tuttle emphasized that while these products may not suit every investor, they play an important role in the market.

He explained that leveraged ETFs can serve as an alternative to options. Unlike options, these ETFs can be traded after hours, making them suitable for short-term trading strategies.