Strive Inc. ASST Plunges 11.27% on Bitcoin Pivot, Regulatory Risks, and $2.6B Loss

Strive Inc. (ASST) shares hit a new low since May 2025 on September 26, with an intraday drop of 13.45% and a 11.27% decline for the day, marking a 43.26% slump over five consecutive trading sessions. The selloff reflects mounting pressures from strategic shifts, financial underperformance, and regulatory uncertainties in its core operations.

Leadership changes have intensified investor skepticism. Matt Cole’s appointment as chairman and CEO, alongside a restructured executive team, signals a pivot toward Bitcoin-centric strategies. However, the abrupt transition has raised concerns about operational continuity. Cole’s focus on Bitcoin accumulation and long-term outperformance of the cryptocurrency itself remains unproven, with the market reacting to the lack of concrete execution plans.

Financial results underscore the company’s instability. A $2.664 billion net loss for continuous operations and revenue of just $173,000 highlight severe operational challenges. Despite a $1.5 billion Bitcoin strategy driving initial optimism, the absence of tangible results has triggered profit-taking and eroded confidence. Negative EBIT margins and liquidity constraints further complicate efforts to scale the strategy, leaving the stock vulnerable to volatility.

Regulatory headwinds in the compounding pharmacy sector compound the risks. Strive’s niche model, reliant on personalized medication formulations, faces hurdles such as limited insurance coverage and rising production costs. Unlike mass-produced drugs, compounded medications often require out-of-pocket payments, limiting scalability. Intensifying competition and regulatory ambiguities in the U.S. have deepened doubts about the sector’s profitability, casting a shadow over the company’s long-term viability.

Market dynamics also play a role. Extreme volatility, with sharp intraday swings and a 21.55% plunge to $5.15, reflects fragmented investor sentiment. Options activity suggests cautious positioning, though historical data indicates limited rebound potential following similar declines. The stock’s susceptibility to prolonged bearish trends underscores the need for clear operational and regulatory milestones to rebuild trust.

Strive’s path forward hinges on aligning its Bitcoin ambitions with actionable steps to stabilize operations. Without demonstrable progress in cost management, revenue diversification, or regulatory clarity, the stock remains exposed to further declines. Investors are likely to remain wary until the company provides concrete evidence of sustainable growth and risk mitigation.