BitcoinWorld, JP Morgan has offered a new perspective on the potential impact of an MSCI exclusion from global stock indices, like Strategy’s recent dramatic price drop. The bank argues that investors have already factored in the likelihood of removal, and thus, an actual event wouldn’t trigger another significant decline. Their analysis suggests the current share price reflects the market’s expectation for exclusion across all major indexes, not just MSCI. This shift in focus from fear to a more informed assessment could offer clarity for investors. 20% drop in Strategy’s stock price between October and early December is seen as evidence of this pricing. The report identifies two potential scenarios: either an MSCI exclusion might lead to limited downside pressure, already priced into the market, or a continued maintenance of the status quo could see significant rebounds in its value. JP Morgan’s analysis highlights how traditional finance models are being applied to navigate cryptocurrency-related risks. It emphasizes that the most crucial variable for both Strategy and Bitcoin is MSCI’s final decision. This decision will have significant implications for institutional investors who track index funds, as they would be forced to sell Strategy’s stock, creating automatic selling pressure. The report concludes by stressing the importance of understanding this institutional perspective and navigating uncertainty with a calculated approach. It also emphasizes that the largest wave of selling may already have passed.