Metaplanet, which calls itself Japan’s Bitcoin pioneer, is in serious trouble. The company’s stock price has fallen 78% from its all-time high, and the company’s assets, mainly Bitcoin, are officially underwater.
According to CoinMarketCap, Bitcoin is currently trading at around $101,200, and Metaplanet’s average BTC cost base of $108,000 is about a 5% deficit. This means that the company’s massive 30,823 BTC position, which was once worth a huge amount, is now hemorrhaging money.
Metaplanet is currently down 78% from its peak.
their $BTC The cost base is around the $108,000 level, meaning it’s already underwater.
And here’s what’s even worse.
They secured a $100 million Bitcoin-backed loan to purchase more BTC.
We’ve seen this many times… pic.twitter.com/yZh3fZ6Ylb
— Ted (@TedPillows) November 6, 2025
But that’s not the worst part.
100 million dollar bet
In what looks like a page out of a risky strategy, Metaplanet has just secured a $100 million loan backed by Bitcoin.
The goal is to buy more Bitcoin.
Yes, they are already doubling while underwater.
Borrowing against Bitcoin never worked out. This is the same trap that brought down some miners and funds during past recessions. When Bitcoin falls, collateral ratios drop and lenders start demanding margin.
If Bitcoin treasury companies are this vulnerable at prices above $100,000, what will happen if BTC returns to $90,000 or $80,000?
Mathematics gets ugly quickly.
Massive Metaplanet Exposure
Metaplanet is not a small player. The company holds 30,823 BTC, which was purchased at an average price of $108,000 per coin, which is a staggering $3.3 billion position.
At current prices, that stash is worth nearly $3.1 billion, a paper loss of more than $150 million.
The company was once hailed as “Japan’s MicroStrategy.” Today, this is the latest reminder that influence and belief can be a dangerous combination.
Rather than cutting losses like a prudent trader, Metaplanet is using borrowed cash to buy more Bitcoin to lower the average price. Analysts say the move is either foolhardy or genius, depending on where Bitcoin goes next.
bet on a short squeeze
Some market watchers believe Metaplanet’s new financing may be part of a larger strategy. The company may be attempting to orchestrate a short squeeze by purchasing large amounts of BTC, driving up the price and forcing traders betting on Bitcoin to cover.
That’s a bold idea. But timing is important.
And now, Bitcoin’s volatility is increasing instead of decreasing.
In traditional finance, companies avoid adding leverage during times of uncertainty. Apparently, now is the time to take out a nine-figure loan in cryptocurrencies.
BlackRock’s move shocked the market
While Metaplanet is busy doubling down, BlackRock appears to be taking chips off the table.
On-chain trackers spotted the world’s largest asset manager moving $673 million in Bitcoin and Ethereum to Coinbase wallets, which immediately sparked market buzz.
The details of what was transferred are as follows:
- 4,652.87 BTC (≈ $478.5 million)
- 57,455 ETH (≈ $194.9 million)
Traders noted that this equated to a total of $673 million.
Is BlackRock selling?
Some believe this move is simply a matter of management, ETF rebalancing, or capital allocation.
Some believe this portends a major decline.
Within hours, rumors started flying.
On-chain analyst @danny_crypton wrote, “BlackRock just started releasing Bitcoin on Coinbase ahead of President Trump’s huge announcement.” “In the last 48 hours, they sold approximately $3 billion in BTC and ETH.”
🚨 Breaking news
BlackRock just started releasing Bitcoin on Coinbase ahead of President Trump’s ‘huge’ announcement two hours later
Sold ~$𝟯 𝗕𝗜𝗟𝗟𝗜𝗢𝗡 in the last 48 hours $BTC and $ETH
what happened? ? pic.twitter.com/NHcsIha60A
— Danny (@Danny_Crypton) November 6, 2025
If true, that’s not a small number. A $3 billion wave of selling from institutional investors could send ripples through the market, especially when sentiment is already fragile.
Organizational pressure counters corporate overconfidence
On the one hand, Metaplanet is increasing its leverage and betting its balance sheet on Bitcoin’s long-term recovery.
Meanwhile, BlackRock is unloading assets and moving them into at least more liquid positions.
The contrast couldn’t be sharper.
For Metaplanet, it’s a belief, a belief that Bitcoin is still cheap even after passing $100,000.
For BlackRock, it’s more like risk management.
If BlackRock’s move was indeed a pre-sale position, the timing couldn’t have been worse for a leveraged player like Metaplanet. A short-term correction could trigger a chain reaction of liquidations, putting further pressure on an already nervous market.
Debt spiral risk
If prices rise, debt-backed Bitcoin accumulation seems prudent. But when they collapse, a situation occurs that analysts call a “debt spiral.”
Here’s how it works:
1. The price of Bitcoin will fall.
2. Collateral value declines.
3. Loan-to-value ratios skyrocket.
4. Lenders demand repayment or additional collateral.
5. Companies sell Bitcoin to meet margin calls.
6. Selling causes the price to fall and the cycle restarts.
That is the trap that Metaplanet currently faces.
If Bitcoin falls another 10-15%, the company could be forced to sell some of its holdings, which is exactly the opposite of what the company wants.
Bitcoin’s resilience will be tested
Despite all the drama, Bitcoin has shown remarkable resilience by maintaining above $100,000. Trading volumes on CoinMarketCap’s top exchanges remain high, suggesting stable institutional investor activity.
However, emotions are fragile. Treasury-style holdings by corporations are no longer considered a “risk-free” diversification strategy, but are increasingly becoming a volatility-enhancing one.
For individual traders, this is a warning. Don’t imitate the Treasury Department.
Metaplanet gamble could define this cycle
Whether Metaplanet’s strategy works or not will likely become the definitive case study in corporate cryptocurrency management.
If Bitcoin rebounds towards $120,000, the company will look prescient, having bought the dip at the perfect time.
If Bitcoin falls to $90,000, it could be the next big leverage failure headline.
The market is now paying attention. Then guess which heading will come first.
Metaplanet’s 78% stock price crash is not just a market correction, but a lesson in arrogance. The same forces that built that image can now destroy it.
Meanwhile, BlackRock’s $673 million move shows that the institutional aspects of cryptocurrencies remain strategic rather than emotional.
As two worlds collide: retail excitement and corporate risk-taking, Bitcoin’s next big move will determine who makes the right decision.
For now, one thing is clear.
In cryptocurrencies, you either learn from the cycle or you lead by example.
Disclosure: This is not trading or investment advice. Always do your research before purchasing any cryptocurrency or investing in any service.
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