Nu Holdings Ltd. (NYSE: NU), the parent company of Brazilian digital bank Nubank, has remained relatively stable in recent sessions, trading near $13.18 on May 16 after posting a 22% gains in April, and continuing its green run in May. The fintech firm has continued to deliver strong customer growth, now serving over 119 million users across Latin America.
However, its Q1 2025 earnings report revealed a mixed picture: revenue climbed 19% year-over-year to $3.2 billion, but net profit of $606.5 million came in below analyst expectations. The company’s expansion efforts, including its push into Mexico and deepening presence in Colombia, have not yet translated into margin strength.
Meanwhile, broader macro indicators have supported NU’s share price. Cooling U.S. inflation and the prospect of lower rates have buoyed fintech and growth stocks, especially in emerging markets. Yet, uncertainty remains over the sustainability of earnings in the face of rising competition and persistent NIM compression. Against this backdrop, one headline stood out — Berkshire Hathaway, once a vocal backer of Nu Holdings, exited its position earlier this quarter.
Berkshire’s Nu Exit: A Calculated Retreat or a Crypto Rejection?
In Q1 2025, Berkshire Hathaway, under Warren Buffett’s leadership, fully divested its stake in Nu Holdings. This move, disclosed in Berkshire’s 13F filing on May 15, concluded an investment that began with a $500 million Series G funding round in 2021, followed by an additional $250 million.
The exit netted Berkshire a $250 million profit. Simultaneously, Berkshire also sold its remaining Citigroup shares, reduced its Bank of America holdings by approximately $2 billion, and increased its positions in consumer-focused companies like Constellation Brands and Pool Corp by 113% and 145%, respectively.
A significant factor in this decision appears to be Nubank’s expanding involvement in the cryptocurrency sector. On March 25, 2025, Nubank announced the addition of Cardano (ADA), Near Protocol (NEAR), Cosmos (ATOM), and Algorand (ALGO) to its Nubank Cripto platform, bringing the total number of supported tokens to 20.
The expansion complemented its existing offerings, which included Bitcoin, Ethereum, Solana, USDC, and XRP. Furthermore, Nubank had allocated 1% of its net assets to Bitcoin in 2022, signaling a deeper commitment to the crypto ecosystem.
Buffett’s longstanding skepticism toward cryptocurrencies likely influenced Berkshire’s decision. The veteran investor has previously described Bitcoin as “rat poison squared” and emphasized that it “doesn’t produce anything.” For Buffett, investments should generate tangible value, and the speculative nature of cryptocurrencies does not align with this principle.
Despite Nubank’s impressive growth trajectory and strong customer base, its increasing exposure to volatile digital assets introduced risks that conflicted with Berkshire’s conservative investment philosophy. The decision to exit reflects both a strategic profit-taking move and a principled stance against the speculative direction Nubank was heading toward.
Stock Eyes Breakout as Price Approaches Key Supply Zone
Nu Holdings Ltd. traded near $13.08 after rallying sharply from its March lows. The uptrend shows strong structure, with price holding consistently above clustered moving averages. Notably, the 50-day EMA (purple) is on the verge of forming a golden cross with the 100-day EMA (blue), a signal that often precedes sustained bullish continuation.
From a structural perspective, price action is approaching a significant resistance confluence. The $13.60 level aligns with the 0.618 Fibonacci retracement. Moving above the immediate resistance would bring NU price close to the broader supply zone above the resistance at $14.58. These levels have historically triggered selling pressure, as seen during the failed breakout attempts in Nov. 2024 and Jan. 2025.
A clear break above $14.00 could open the path to retest $15.88, the final resistance from the previous swing high. If bullish momentum persists beyond that, Fibonacci extension targets suggest possible medium-term upside toward $18.35 and $19.57.
On the downside, immediate support lies near $12.89 — the 0.5 Fib level — followed by a more critical support band at $12.19 and $11.31. A breach below this range could accelerate downside toward $9.90, where a high-volume node aligns with historical demand.
The volume profile suggests rising interest, but the price must stay above $13.00 to sustain the breakout narrative. The RSI sits at 65.4, nearing overbought conditions but still supportive of upward movement if volume confirms the breakout.
If the golden cross triggers in the coming sessions, NU stock may attract fresh inflows, especially from momentum-driven portfolios seeking confirmation above the $14.00 mark. As such, the stock could survive the breakup with Warren Buffett’s Berkshire Hathaway.
