Strategy, led by Michael Saylor, increased its total assets to 714,644 units by purchasing a new Bitcoin worth $ 90 million, despite the volatile course of the markets. With the leading cryptocurrency falling below the $70,000 level, the company’s huge portfolio suffered losses again, while the average cost remaining above the current market price brought about controversy. Although the company’s shares closed last week on a rise, they have been on a downward trend in pre-market trading following the latest acquisition news.
Michael Saylor’s Unwavering Bitcoin Will and New Purchase
Strategy, the biggest corporate advocate of the cryptocurrency world, added 1,142 units to its portfolio within the framework of its strategic Bitcoin accumulation plan. The company, which reached a total investment volume of 54.35 billion dollars, had an average cost structure of 76,056 dollars per unit. Since the move in question took place during a period when the price of the asset was below $ 70,000, the company’s total position is currently facing unrealized losses.
Market analysts predict that the transaction was likely completed at the beginning of the week, based on the price levels at which the last purchase took place. This move, made before Bitcoin’s recent sharp depreciation, became the target of criticism from some industry stakeholders. Particularly well-known names such as “Satoshi Flipper” comment that even if a cost reduction strategy (DCA) is implemented, purchases made at current levels are far from a rational basis.
When the timing of the investment combined with the downward movement in technical charts, the sustainability of the corporate strategy began to be questioned. Despite this, Saylor continues to stick to his long-term accumulation model, ignoring short-term volatility in the market. While the total amount of Bitcoin held by the company now represents a significant portion of the circulation in the market, the impact of the periods when the cost average approaches $ 78,815 is felt on the portfolio balance.
Market Reaction and Latest Situation on MSTR Shares
Strategy shares (MSTR) gave morale to its investors by closing last week at $ 135 with an impressive increase of 26%. However, new Bitcoin purchases and the general downward trend in the cryptocurrency market began to put pressure on share prices. It was observed that the shares lost approximately 4% of their value in the transactions before the market opening on Monday. This withdrawal shows that the company’s market value has decreased by 14% on a monthly basis.
Since the company’s financial structure is directly indexed to the performance of Bitcoin, any shake-up in the digital asset becomes a direct risk factor for MSTR investors. This latest decline, following the recovery on Friday, proves that institutional investors are taking a more cautious stance towards purchasing news. In particular, the fact that Bitcoin remains below the psychological limit of $ 70,000 causes the company’s multi-billion dollar portfolio to remain in the “red zone”.
Despite the rising voices of objection within the crypto community, Strategy remains uncompromising in its determination to convert corporate cash reserves into digital gold. Financial circles are eagerly waiting for how long the company can tolerate such a large loss and when the Bitcoin price will rise above the average cost level of $ 76,056. For now, the tight link between stock market performance and crypto asset values continues to keep the company in a high-risk investment position.
