Metaplenet “broke” the market and was paused in the Japan Stock Exchange
Metaplenet’s action, a Japanese firm that operates in the hotel and real estate sectors, was temporarily suspended in the Tokyo Stock Exchange (TSE) because it reached the daily limit of allowed rise.
As cryptootics has reported, the Asian company is recognized for adopting an aggressive investment strategy in Bitcoin (BTC) as a reserve asset since 2024. Currently, the company accumulates 7,800 BTC and its objective is to accumulate 10,000 BTC at the end of 2025.
At the time of this Metaplanet publication it is in the 11th position of the ranking of companies that are quoted in the stock market that most accumulate in their treasury.
On this occasion the company was not news for its purchases of BTC but because its action recorded a significant increasereaching the maximum daily limit allowed by the TSE.
These stops depend on the closing price of the previous day: the higher the price, the greater the permitted range of oscillation. For example, for actions that are quoted below 700 yen, as was recently the case of Metaplanet, the daily limit is ± 100 yen per day, which means that it cannot go up or lower more than 100 yen with respect to the closing of the previous day. If an action reaches that stop, negotiation can be temporarily leisurely.
The following table shows the different price ranges and their corresponding daily limits according to current TSE regulations.
When reaching that stop of ± 100 yen, a temporary pause is activated (known as “Limit Up Halt”) In its negotiation with the objective of curbing excessive volatility and protecting market stability.
In the following tradingview graph, the price increase of the action and the temporal suspensions that were activated to stop price fluctuations is observed.
Now, what was the event or catalyst for the price of the action? The main reason was that Simon Gerovich, CEO of the company, warned that Metaplenet is the action with the most short positions (short) in Japan. That is, many investors are betting on their price falling.
“Do you really believe that betting against Bitcoin is a winning strategy?” Gerovich wrote in his personal account of X. His post is accompanied by the list of the 10 most “shorted” Japanese actions, according to S&P Global Market Intelligence Securities Finance data.
Here, in addition, there is an interesting issue is that the owners of the companies are not allowed to directly promote their actions, but in this case, the CEO of Metaplanet is dedicated to spreading and promoting BTC.
As seen, Metaplenet has the greatest short interest in Japan with 25.25% of its shares in Short and 117.91 million actions provided.
This phenomenon is called “Short Squeeze” and occurs when many investors are committed to the price of an action will decrease. But what happens if the opposite occurs, if instead of going down, it starts to climb quickly? These investors are forced to buy the action to close their positions and avoid greater losses. That forced purchase generates even more bull pressure, and the price rises even more.
In addition to the “Short Squeeze”, we must also mention that the BTC increase acted as an additional price catalyst.
The correlation with the digital asset was key, since the rebound of BTC – which at the time of this publication has reached new historical maximums – generated even more optimism among investors, not only in Metaplanet but also in other companies with similar strategies.
For example, Strategy (formerly Microstrategy), the firm directed by Michael Saylor, reached a price of $ 420, which represents a daily rise of 5%.
This reinforces the narrative that BTC’s corporate adoption not only transforms traditional financial strategies, but also has the power to trigger explosive stock market movements
