ASST Plummets 31.5% Amid Leadership Doubts and Financial Turmoil: Is This the Bottom?

Summary
• Strive (ASST) crashes 31.5% to $1.065, its lowest since March 2023
• Intraday range of $0.94–$1.12 highlights extreme volatility
• EBIT margin of -996.1% and $2.66M net loss deepen investor skepticism
• Options chain sees 120,000+ contracts traded, signaling speculative frenzy

Strive Inc. (NASDAQ: ASST) is in freefall, trading at 69% of its 52-week high amid a perfect storm of financial underperformance and strategic uncertainty. With a 31.5% intraday drop and a -996.1% EBIT margin, the stock’s collapse reflects deepening doubts over management’s ability to stabilize operations. The options market is now pricing in extreme volatility, with 143.87% implied volatility on the October 24 $1 call option. This is a high-risk, high-reward scenario for traders navigating a stock on the brink of a potential turnaround or further collapse.

Leadership Vacuum and Operational Bleeding Trigger Sell-Off
ASST’s 31.5% plunge stems from a confluence of red flags: a -996.1% EBIT margin, $2.66M net loss, and a 1300.47 price-to-sales ratio that signals investor skepticism. Recent news of Vivek Ramaswamy’s Strive merging with ASST has backfired, with the $750M Bitcoin acquisition now viewed as a liability rather than an asset. The company’s operational cash outflow of $2.86M and a 100% negative gross margin underscore its inability to generate sustainable revenue. Compounding this, insider selling by CFO Matthew Krueger and Chairman Michael Gaubert has eroded confidence, while the SEC’s recent approval of the merger has failed to reassure shareholders. The stock’s collapse reflects a market betting on management’s failure to execute a coherent strategy.

Options Playbook: Capitalizing on ASST’s Volatility
• RSI: 11.03 (oversold)
• MACD: -0.853 (bearish), Signal Line: -0.7376
• Bollinger Bands: $0.793–$5.277 (extreme range)
• 200D MA: $3.06 (well below current price)

ASST’s technicals scream of a short-term bottoming process. The RSI at 11.03 suggests overselling, while the MACD histogram (-0.1157) indicates bearish momentum. However, the stock is trading near its lower Bollinger Band ($0.793), hinting at potential mean reversion. For options traders, the October 24 $1 call (ASST20251024C1) and October 31 $1 call (ASST20251031C1) stand out:

• ASST20251024C1
- IV: 143.87% (extreme volatility)
- Delta: 0.660 (moderate sensitivity)
- Theta: -0.00617 (rapid time decay)
- Gamma: 1.306 (high sensitivity to price swings)
- Turnover: 8,081 (liquid)
- Leverage: 7.17%
- Payoff (5% downside): $0.05 (max(0, 1.0125 - 1))
- Why it works: High gamma and IV make this a speculative bet on a short-term rebound. The 7.17% leverage amplifies gains if the stock rallies.

• ASST20251031C1
- IV: 169.10% (extreme)
- Delta: 0.650 (moderate)
- Theta: -0.005105 (rapid decay)
- Gamma: 0.8929 (high sensitivity)
- Turnover: 19,032 (liquid)
- Leverage: 5.37%
- Payoff (5% downside): $0.05 (max(0, 1.0125 - 1))
- Why it works: The 169.10% IV and 5.37% leverage create a high-risk, high-reward scenario. Ideal for aggressive bulls expecting a post-merger bounce.

Action: Aggressive bulls may consider ASST20251031C1 into a bounce above $1.05. If $0.94 breaks, the October 31 $1 put (ASST20251031P1) offers downside protection.

Backtest Strive Stock Performance
Here is the completed one-click back-test of the “RSI Oversold 1-Day Hold” strategy on NVDA (2022-01-01 → 2025-10-13). Key take-aways • Entry rule: Buy at next day’s close whenever the 14-day RSI < 30 (classic “oversold” threshold). • Exit rule: Close the position after exactly one trading day. • Automatic settings: – RSI period fixed at the standard 14 days. – Max-holding-days = 1 used instead of a separate close signal. • Performance snapshot: total strategy return ≈ 29.7 %, annualised ≈ 8.0 %, max drawdown ≈ 12.9 %, Sharpe ≈ 0.53. Interactively explore the full equity curve and trade list in the module below.Feel free to drill down into individual trades and risk statistics via the interactive panel.

ASST at Crossroads: Bet on Turnaround or Exit the Wreck
ASST’s 31.5% drop has created a binary scenario: either a strategic overhaul by management triggers a rebound, or the stock continues its descent toward the $0.335 52-week low. The options market is pricing in extreme volatility, with 143.87% IV on the October 24 $1 call. Traders should monitor the $1.05 support level and the October 31 merger vote. Meanwhile, sector leader BlackRock (BLK) is up 2.45%, highlighting the contrast between ASST’s turmoil and broader asset management strength. Watch for $0.94 breakdown or a post-merger catalyst—this is a high-risk, high-reward trade with no middle ground.