Bitcoin News Today: Bitcoin's Giant Loses S&P 500 Bid as Robinhood Joins the Index

MicroStrategy (MSTR) faced a significant setback as it was excluded from the latest S&P 500 index rebalancing, despite meeting all the criteria for inclusion. The decision, announced by S&P Global, marked a disappointment for investors and the broader crypto community, who had anticipated MicroStrategy’s entry into the index. Instead, the S&P 500 added Robinhood Markets (HOOD), AppLovin (APP), and Emcor Group (EME) to the list of its constituent companies, effective before the market opens on September 22.

MicroStrategy, led by Executive Chairman Michael Saylor, holds the largest corporate Bitcoin portfolio, with 636,505 BTC valued at approximately $70 billion. The firm’s stock had been on a strong upward trajectory in 2025, driven by new accounting rules allowing companies to report Bitcoin at its current market value rather than at a historically impaired cost. This accounting change, combined with Bitcoin’s price surge, pushed MicroStrategy into positive GAAP earnings for the first time since its transformation into a digital asset treasury. Despite this, the S&P 500 committee opted not to include it in the latest update, sending its stock down nearly 3% in after-hours trading.

The exclusion is widely seen as a reflection of the index committee’s cautious stance toward companies with heavy exposure to Bitcoin. Analysts suggest that the committee evaluated broader macroeconomic variables rather than individual company narratives. For example, Jeff Park, Chief Investment Officer at ProCap BTC, stated that the committee’s focus lies on market value, competition, and risk diversification, rather than the internal operations of firms like MicroStrategy. Park also noted that the inclusion of Robinhood, with its diversified fintech model and clear market positioning, was almost certain. Meanwhile, MicroStrategy remains a candidate for future S&P 500 inclusion, as it has demonstrated strong financial performance and liquidity.

Robinhood’s surprise inclusion was met with enthusiasm by the market. The stock surged more than 7% after hours, driven by the anticipated demand from index funds and ETFs. As a digital trading platform with growing crypto ambitions, Robinhood has expanded its offerings to include tokenized stocks and improved crypto custody services. This move positions it as a bridge between traditional finance and the emerging crypto ecosystem. The addition of Robinhood to the S&P 500 validates the growing role of fintech in the financial landscape and aligns with the increasing acceptance of crypto-linked firms in mainstream markets.

MicroStrategy’s exclusion, on the other hand, has raised concerns among investors about its exposure to volatility tied to the Bitcoin market. Unlike Robinhood, which derives revenue from multiple sources, MicroStrategy’s performance remains closely tied to the price of Bitcoin. Some analysts believe this concentration in one asset class could deter the S&P committee from including the company in the index at this time. The firm’s stock fell from its intraday high of $335.87 to $326.99 in after hours, signaling short-term disappointment among traders.

The S&P 500 rebalancing has broader implications for the equity market. Index funds and ETFs are expected to adjust their holdings to reflect the new composition, leading to increased demand for the newly added companies. This automatic buying mechanism is a powerful catalyst for stock performance, especially for companies like AppLovin and Em