Michael Saylor Teases Another Bitcoin Purchase
Michael Saylor recently posted a Bitcoin tracking chart on X. He added the caption, “We’re gonna need more charts.” This specific phrase is his traditional signal for an upcoming Bitcoin purchase. If a filing confirms it, this will mark Strategy’s fourth consecutive week of buying cryptocurrency. The company’s previous purchase took place on June 22. During that transaction, they acquired 520 BTC for approximately $35 million.
Strategy Faces Massive Unrealized Losses
Despite ongoing purchases, Strategy’s crypto portfolio is currently deep in the red. The company holds a massive 847,363 BTC in its corporate treasury. However, their average purchase price sits very high at roughly $75,646 per Bitcoin. With Bitcoin recently trading near $60,000, the firm faces serious financial strain. The company’s total Bitcoin position is currently about $13 billion underwater. In total, their holdings have a market value of $50.8 billion against a $64.1 billion cost basis.
Financial Pressure Builds on Corporate Stocks
The recent crypto market selloff is heavily impacting the company’s stock prices. Strategy’s common stock (MSTR) recently dropped to about $82. This marks the stock’s lowest trading level since February 2024. Furthermore, the firm’s dividend-paying preferred stock (STRC) plummeted to a record low of $71. These rapid declines pushed the company’s enterprise mNAV below 1 for the first time. This means the stock market now values the entire firm at less than its actual Bitcoin holdings.
Industry Criticism and Expert Recommendations
This aggressive financial model has sparked strong public criticism. Ripple CEO Brad Garlinghouse stated that Strategy’s approach actively damages the broader crypto market. He argued that long-term asset value must come from actual utility rather than financial engineering. Additionally, the blockchain analytics firm CryptoQuant urged Strategy to pause all new purchases. Experts strongly recommend the firm rebuild its cash reserves immediately. Analysts estimate that Strategy needs about $2.8 billion to safely cover its rising annual dividend obligations.
