Strategy, formerly known as MicroStrategy, has executed another massive digital asset acquisition, reaffirming its Bitcoin investment strategy despite recent market volatility. According to a filing with the U.S. Securities and Exchange Commission this Monday, the firm added 1,142 Bitcoin to its corporate reserves, after spending approximately 90 million dollars over the past week.
Under the leadership of Michael Saylor, the world’s largest public holder of the cryptocurrency made these purchases at an average price of $78,815 per unit. However, this operation stands out because the asset traded below that level for much of the period, even briefly touching $60,000 last Thursday on the Coinbase platform.
Institutional accumulation vs. price volatility
With this latest move, the company has increased its total treasury to the impressive figure of 714,644 BTC, representing more than 3.4% of the global maximum supply. The cumulative investment now stands at 54.35 billion dollars, maintaining a global average cost of $76,056, a figure that currently sits above the market value following last week’s retracement.
Despite the asset’s price remaining below $72,000 recently, the company has decided not to slow its buying pace, prioritizing long-term accumulation. Thus, Strategy faces a situation similar to 2022, when it continued acquiring BTC even when market prices were significantly below its cost basis.
How does this purchase impact Strategy’s financial stability?
The market has reacted cautiously to the possibility of unrealized losses, as the company’s shares have closely mirrored the cryptocurrency turbulence. Last Thursday, MSTR shares fell as low as $107, although they experienced a 26% rebound by Friday’s close, driven by a partial recovery in Bitcoin prices.
On the other hand, executives like Phong Le have ensured that the firm’s balance sheet is solid, as Bitcoin would have to drop to $8,000 to seriously compromise its convertible debt. Therefore, Saylor’s Bitcoin investment strategy appears immune to short-term fluctuations, projecting an institutional confidence that seeks to influence global supply dynamics.
The firm’s conviction suggests the focus is not temporary arbitrage, but the consolidation of a digital fortress of value. Consequently, Strategy is expected to continue using common stock sales to fund further cryptocurrency acquisitions, maintaining its position as the most relevant corporate pillar within today’s decentralized financial ecosystem.
