Bitcoin drops below $64,000 as Strategy sells 1,690 BTC

Bitcoin fell 2% to $63,770 on Aug. 10 after Strategy sold 1,690 BTC, wiping out $47 million in long positions.

"Our USD Reserve and Duration are now at all-time highs. In 2.5 months, we added nearly $3.8 billion and grew both more than 5X. This is the Digital Credit Capital Framework at work," Phong Le, chief executive at Strategy, said.

The slide erased nearly 2 percent of bitcoin's market capitalization, cutting it to $1.28 trillion from $1.3 trillion in under four hours, and pushed the token below the $64,000 level it had held since Aug. 7. Strategy sold the coins between Aug. 3 and Aug. 9 at an average of $64,262, below its $75,385 cost basis, and used the $108.6 million in proceeds to repurchase 1,152,020 STRC preferred shares. Holdings fell to 840,447 BTC from 842,138 a week earlier, following a prior sale of 1,638 coins for $104.7 million. Short liquidations totaled $12 million over 24 hours, per Coinglass.

The sale is the fourth of 2026 under a board-authorized program allowing up to $1.25 billion in disposals, with roughly $429 million used so far. The company also sold 6.59 million common shares for $653.1 million, lifting its dollar reserve to $4.65 billion, after reporting a net loss of $8.22 billion on an $8.32 billion unrealized digital-asset loss in Q2. Peter Schiff, who has repeatedly called Strategy a Ponzi scheme, urged investors to "sell MSTR and sell Bitcoin now," while macro strategist Dan Hillery defended the move as balance-sheet optimization that lowers the company's cost of capital.

Prediction markets assign a 39 percent chance Strategy announces more sales before Aug. 17, keeping pressure on bitcoin's next support near $63,000. The slide also dragged mining stocks lower, with Riot Platforms down 6 percent to $19.36, MARA Holdings down 6 percent to $9.52, and CleanSpark down 5 percent to $11.69. Bitcoin remains down 27 percent year to date, with the sale adding to a supply overhang that has kept the token below $65,000 resistance since early August.

This article is for informational purposes only and does not constitute investment advice.