Svmuu News: The Kobeissi Letter published an analysis on X stating that leveraged crypto assets have taken a heavy hit, with Strategy-related leveraged long ETFs experiencing significant pullbacks. The 2x long products MSTX and MSTU have both fallen more than 82% year-to-date, hitting their lowest levels since their 2024 listings, while another leveraged product, MSTP, has also fallen approximately 81% since its June 2025 listing.
During the same period, Strategy’s stock price has fallen by about 46% year-to-date, hitting its lowest level since February 2024. Since their launch in 2024, long-short leveraged ETFs linked to Strategy have fallen by more than 90% overall. Analysts believe that the leverage effect is significantly amplifying the downside risk of crypto-related assets.