Bitcoin News Today: A Secret Committee Shut Out Bitcoin's Standard-Bearer From Wall Street's Club

MicroStrategy (MSTR), the corporate Bitcoin holder led by Michael Saylor, was excluded from the latest S&P 500 index rebalancing on September 5, despite meeting all technical eligibility criteria. The decision, attributed by Bloomberg ETF strategist Eric Balchunas to the discretion of a "secret committee," sparked immediate market reactions. MSTR's stock dropped nearly 3% in after-hours trading, wiping out intra-day gains and pushing it below the $330 level, raising concerns about potential further declines toward the $300 threshold [3].

The exclusion contrasted with the inclusion of Robinhood Markets (HOOD), AppLovin Corp. (APP), and Emcor Group Inc. (EME) into the index. Robinhood's addition marked it as the third publicly traded crypto-focused firm to enter the S&P 500, joining Coinbase Global Inc. (COIN) and Block Inc. (XYZ). The stock surged 7% post-market hours, signaling optimism from investors regarding increased institutional exposure and potential price support from index-tracking funds. The changes will be effective from the market open on September 22 [1].

MicroStrategy, which holds approximately 636,505 Bitcoin, has long been a subject of speculation for S&P 500 inclusion. Analysts had previously noted that the firm's market capitalization and liquidity metrics far exceeded the index’s requirements. According to Stephens Inc., the firm's float-adjusted liquidity ratio was the highest among potential candidates for the rebalancing, suggesting a strong case for inclusion [4]. However, the decision ultimately rested with the S&P committee, which considers factors such as sector representation and market balance beyond quantitative metrics. This discretionary process has historically led to controversial exclusions, such as Tesla and Microsoft in prior years [3].

The S&P 500 index, representing the 500 largest U.S. publicly traded companies, serves as a critical benchmark for institutional and passive investment strategies. Inclusion typically results in increased trading activity and price support as index funds and ETFs adjust their portfolios to align with the updated benchmark. For MicroStrategy, the omission could delay broader institutional adoption of Bitcoin as an asset class, as the company’s inclusion would have indirectly exposed millions of investors to crypto through portfolio reallocation [1].

Market observers remain hopeful that future Federal Reserve rate cuts, scheduled for the FOMC meeting on September 17, could provide a liquidity boost to MSTR's stock. The firm's shares have been trading sideways since reaching a peak of $450 in mid-July, with some analysts forecasting a potential return to the $300 level before a reversal to the upside. Whether MicroStrategy will secure inclusion in a future rebalance remains uncertain, but the company’s role as a major Bitcoin holder continues to place it under the spotlight in the evolving digital asset landscape [3].

Source:

[1] MSTR News: Strategy Stock Falls as Robinhood Beats It to ... (https://www.coindesk.com/business/2025/09/05/michael-saylor-s-strategy-snubbed-by-s-and-p-500-amid-robinhood-s-surprise-inclusion)

[2] Michael Saylor's MicroStrategy misses S&P 500 ... (https://www.thestreet.com/crypto/markets/hopes-dashed-as-microstrategy-snubbed-in-s-p-500-rebalance)

[3] Expert Blames 'Secret Committee' for Rejecting MSTR ... (https://coingape.com/expert-blames-secret-committee-for-rejecting-mstr-stock-inclusion-to-sp-500/)

[4] Bitcoin Faithful Bet on Saylor's Strategy Being Added to S&P 500 (https://finance.yahoo.com/news/bitcoin-faithful-bet-saylor-strategy-143009749.html)

[5] Robinhood finally gets a place in the S&P 500. These other ... (https://www.marketwatch.com/story/s-p-500-changes-are-due-out-soon-and-this-could-be-a-big-update-7dfb8e8b)