MicroStrategy’s stock price gained momentum, rising approximately 5% in pre-market trading to near $98, fueled by growing investor optimism ahead of the company’s second-quarter earnings report expected on July 30. Market analysts forecast that the company could swing back to profitability after reporting significant losses earlier in the year.

MarketWatch projects an earnings per share (EPS) of $0.78, while NASDAQ offers an even more bullish estimate at $52 EPS for the quarter ending in June 2026. If these predictions materialize, it would mark a dramatic reversal from MicroStrategy’s first-quarter loss of $38.35 per share. The anticipated earnings growth comes amid a strategic overhaul of the company’s treasury operations, notably shifting from merely holding Bitcoin to periodically selling portions of its BTC reserves to bolster U.S. dollar liquidity and repurchase MicroStrategy shares.

Earlier reports highlighted the company’s sale of 3,588 BTC for $216 million as part of this strategy, intended to improve balance sheet flexibility. Despite these positive moves, MicroStrategy still faces pressure from a large unrealized loss on its Bitcoin holdings, valued at approximately $9.7 billion on its nearly 844,000 BTC assets.

Technical indicators offer a mixed picture for MicroStrategy’s stock. After slipping below the pivotal $100 level on July 7 amid broader market concerns driven by geopolitical tensions, signs suggest bearish momentum is easing. The reduction in negative AO bars signals that sellers are losing strength, potentially opening the way for a renewed attempt to breach the $100 resistance. However, the Relative Strength Index (RSI) remains on the bearish side at 37, which suggests the stock might hover between $95 and $100 until fresh buying interest emerges.

Chart patterns also hint at a possible breakout. The stock appears to have formed a cup and handle formation with a measured depth of 23%. Should MicroStrategy close decisively above $100, it could target gains reaching up to $124, matching the high from mid-June.

Meanwhile, Standard Chartered analysts have expressed confidence in MicroStrategy’s STRC preferred stock, which has weighed on overall equity sentiment due to its decline from par value. The STRC is currently trading below $90, but the firm’s research note emphasized that it is heavily over-collateralized. The analyst argued that the preferred shares should trade closer to $100, supported by the company's substantial assets, including Bitcoin reserves backing STRC’s value.