Strategy Expands Bitcoin Holdings Again with $43.4 Million Purchase
Bitcoin treasury giant Strategy has continued its consistent accumulation of Bitcoin, adding another 390 BTC to its reserves this week. The purchase, valued at approximately $43.4 million, was officially revealed by the company’s co-founder and executive chairman, Michael Saylor. He shared the news in a recent post, highlighting the company’s ongoing commitment to acquiring more of the leading cryptocurrency.
The latest acquisition brings Strategy’s total Bitcoin holdings to 640,808 BTC, acquired at a combined cost basis of roughly $47.44 billion. With Bitcoin currently trading around $115,500 per coin, the company’s portfolio is now valued at an estimated $73.93 billion, representing a profit margin of nearly 56%.
According to a filing with the U.S. Securities and Exchange Commission (SEC), this week’s BTC purchase was funded through proceeds from at-the-market (ATM) stock offerings, specifically of the company’s STRK and STRD equity. This financing method has become a go-to strategy for the firm to fund its ongoing Bitcoin buys.
Although this week’s purchase is a notable increase from last week’s smaller $18.8 million acquisition, it still falls short of some of the company’s more aggressive buys earlier in the year. The reduced scale of recent purchases has prompted analysts to speculate on the reasons behind the slowdown.
Crypto market analyst Maartunn suggested that Strategy is facing mounting challenges in raising capital. He pointed out that the equity issuance premium for the company has dropped dramatically—from a robust 208% to a modest 4%. This decline significantly reduces the financial leverage available for further Bitcoin acquisitions.
Another factor contributing to the capital constraints is the performance of Strategy’s stock. The company’s share price has declined by 50% from its all-time high, limiting its ability to raise funds through equity sales. In contrast, Bitcoin’s price, while also below its previous peak, has not experienced as steep a correction.
Despite these headwinds, Strategy remains the largest corporate holder of Bitcoin globally. Its continued weekly purchases—regardless of scale—demonstrate a long-term commitment to the asset and a strategic belief in Bitcoin’s future value.
Meanwhile, broader market indicators are showing signs of optimism. Notably, the circulating supply of the world’s largest stablecoin, Tether (USDT), has surged sharply over the past two months. According to Maartunn, USDT’s market cap has seen a significant 60-day increase, well above its 30-day simple moving average. Historically, such stablecoin inflows have preceded short-term upward movements in Bitcoin’s price.
Indeed, Bitcoin has recently rebounded to levels around $115,500, signaling renewed market confidence. This recovery follows a period of consolidation and suggests that investor sentiment is improving, possibly fueled in part by institutional interest from firms like Strategy.
The trend of corporate Bitcoin accumulation continues to shape the crypto landscape. Strategy’s approach—marked by regular, methodical purchases—has set a precedent for other institutional players. Even as capital-raising becomes more complex, the firm’s unwavering focus on BTC as a treasury asset underscores its role as a long-term believer in cryptocurrency.
Looking ahead, market watchers are keenly observing several key factors that could influence Strategy’s next moves. These include macroeconomic shifts, regulatory developments, and Bitcoin’s own price performance. Should Bitcoin break past its previous all-time highs, it could reignite bullish sentiment among corporate investors and potentially prompt larger acquisitions.
It’s also worth noting that Strategy’s model of using equity sales to fund BTC purchases is being closely examined by other firms considering crypto exposure. While this method offers a scalable approach to building reserves, it also comes with risks tied to stock price volatility and investor sentiment.
Furthermore, with the growing popularity of stablecoins and increased liquidity in the market, more institutional capital is likely to flow into digital assets. This could further support Bitcoin’s price and validate Strategy’s long-term strategy.
In conclusion, while Strategy’s recent Bitcoin purchase may appear modest when compared to earlier acquisitions, it reflects a steady, disciplined approach to building a formidable crypto treasury. As the company navigates a shifting financial landscape, its consistent actions signal strong conviction in the value proposition of Bitcoin—not just as an investment, but as a core asset in its financial architecture.