Strategy's two-week pause in Bitcoin sales has removed a three-month sentiment barrier that weighed on the market since the company began disposing of coins in late May.
戻る
Strategy's 6,948 BTC sales pause removes three-month overhang
Strategy's 6,948 BTC sales were a narrative risk, not a supply shock, and a two-week pause has removed the overhang, Bitfinex analysts said.
"The largest corporate holder is selling became a recurring bearish argument between May and August," the analysts said in an Aug. 28 report. "Although the sales did not create a large supply shock, each Monday filing left open the possibility that more coins could reach the market."
Strategy's latest Form 8-K, covering Aug. 17 through Aug. 23, reported no Bitcoin purchases or sales — the second consecutive weekly disclosure with no change to its 840,447 BTC balance. With Bitcoin trading near $78,700, the company's holdings have moved above their average acquisition price of $75,385. Strategy paid about $63.36 billion for the position, placing its current value near $66 billion.
The pause matters because Strategy's status as the largest corporate Bitcoin holder gave each weekly sale outsized weight among traders. With the company now raising capital through MSTR share issuance instead of BTC disposals, and a dollar reserve covering close to three years of payment obligations, another sale looks less likely unless STRC preferred stock suffers severe price pressure.
Sales carried symbolic weight beyond their size
Strategy began selling Bitcoin in late May, ending a multiyear period during which its treasury had largely moved in one direction. The first transaction involved 32 BTC sold at an average price of $77,135, raising about $2.5 million — only 0.0038 percent of holdings at the time, but the company's first reported Bitcoin sale since a tax-related transaction in December 2022.
Executive chairman Michael Saylor had prepared investors for the possibility during Strategy's first-quarter earnings call. After the company reported a $12.54 billion net loss driven mainly by unrealized losses on its Bitcoin holdings, Saylor said Strategy would "probably sell some Bitcoin to fund a dividend" and "inoculate the market."
Larger disposals followed as Bitcoin remained under pressure during the summer. Strategy sold 3,588 BTC for approximately $216 million in early July to fund dividends tied to its preferred securities. It later sold 1,638 BTC for $104.73 million during the week ending Aug. 2, followed by another 1,690 BTC for $108.6 million through Aug. 9. The Aug. 10 filing showed the entire $108.6 million from that sale went toward buying back roughly 1.15 million STRC shares.
Against daily Bitcoin spot volume, Bitfinex described the total disposals as "a rounding error." Market attention instead centered on whether preferred-stock obligations could turn Strategy into a recurring seller whenever its other funding channels weakened.
MSTR issuance replaces Bitcoin as funding source
Rather than sell more Bitcoin, Strategy raised about $2.01 billion in net proceeds by issuing approximately 18.26 million MSTR common shares between Aug. 17 and Aug. 23 — around six times the amount raised during the previous reporting week. The company spent $136.4 million to repurchase about 1.43 million STRC shares below their $100 stated amount, directed $300 million into its U.S. dollar reserve, and deposited the remaining $1.59 billion into a newly created cash account. Combined, the two accounts held approximately $6.69 billion as of Aug. 23.
Strategy has now raised roughly $2.35 billion through MSTR issuance across two weeks without directing any of the proceeds into BTC. Management designed the dollar reserve to cover payments on preferred shares and outstanding debt, reducing the need to sell Bitcoin when recurring cash obligations come due.
Bitfinex said the pattern indicates management currently prefers issuing common stock before disposing of additional Bitcoin. With the reserve providing close to three years of payment coverage, the analysts viewed another BTC sale as less likely unless STRC suffers severe price pressure and other funding options become less attractive.
Neutral stance, not a buyer
The end of weekly sales has not yet restored Strategy's former role as a steady source of Bitcoin demand. Over the past two reporting periods, the company neither bought nor sold BTC, leaving its position unchanged at 840,447 coins. Bitfinex described Strategy as neutral rather than an active buyer.
President and chief executive Phong Le has said the company expects to resume accumulation during 2026, linking future purchases to STRC recovering toward its $100 stated amount. "We'll continue to build that. And yeah, when Stretch gets back to par, we'll issue more. We'll buy more Bitcoin," Le said during an earlier interview.
Bitfinex also identified dilution as a remaining risk for MSTR holders. Issuing common shares when the stock trades at a reduced premium to the company's Bitcoin value can weaken the Bitcoin-per-share measure Strategy uses when discussing shareholder performance. A renewed Bitcoin decline toward the low-$60,000 range could also tighten the company's financing position, as a weaker BTC price pushed holdings below cost during the summer sell-off while lower MSTR prices made common-share issuance more dilutive.
MSTR and STRC trade on Nasdaq, giving U.S. investors direct exposure to Strategy's capital decisions. The latest filing showed Strategy sold MSTR at an average price of about $110 per share, up from approximately $96 during the previous week, according to Bitfinex. STRC has maintained its annualized dividend rate at 12 percent for August while the company conducts regular repurchases below the stated amount.
This article is for informational purposes only and does not constitute investment advice.
