MicroStrategy stands out for having the highest 30-day implied volatility among the “magnificent seven” tech stocks. The Bitcoin-focused company is one of the most volatile and actively traded equities in the market.
Volatility in stocks can be advantageous because it encourages high-volume trading. Despite MicroStrategy’s market capitalization being under $100 billion, its trading volume competes with some of the largest tech firms in the world, known as the “magnificent seven.” These companies, which include Apple, NVIDIA, and Microsoft, each boast a market cap exceeding $1 trillion—over ten times that of MicroStrategy.
According to data from Market Chameleon, from December 2, 2024, to January 7, 2025, MicroStrategy averaged nearly 24 million shares traded daily. This impressive volume places it above Microsoft, which trades 20 million shares daily, and Meta (formerly Facebook), which trades 12.2 million shares. The leaders in this category are NVIDIA in first place, followed by Tesla.
MicroStrategy’s stock has risen by approximately 14% year-to-date. Its 30-day implied volatility (IV) currently sits at 104, a key metric that reflects market expectations for the asset’s price movement over the next month. This high IV is notable when compared to the iShares Bitcoin Trust (IBIT), which has an IV of about 60, making MicroStrategy 1.7 times more volatile than IBIT.
As of January 7, MicroStrategy has the highest 30-day implied volatility (IV30) at 105 among the “magnificent seven” tech stocks, with Tesla being the closest contender at 71.
