Strategy's MSTR Stock Flashes Dot-Com-Era Setup That Preceded 99% Plunge
CryptoQuant urged Strategy to pause bitcoin purchases and rebuild cash as annual dividend obligations rose nearly fourfold to $1.2 billion.
- On Wednesday, on-chain analytics firm CryptoQuant advised Strategy to pause Bitcoin purchases and rebuild cash reserves, citing a 38% decline in dollar holdings since 2026 began.
- Preferred-Dividend coverage for Stretch has collapsed to about 14 months from over seven years, as annual obligations ballooned to $1.2 billion in under six months.
- Trading below its $100 par value, STRC hit a record low of $82.50 last week, while the company holds 847,363 Bitcoin acquired at an average price of about $75,650 per coin.
- Strategy sold 2.71 million common shares for about $335.5 million in June to fund acquisitions and dividends, increasing dilution risk for existing MSTR shareholders.
- MSTR has formed a 'head-and-shoulders' technical pattern since March 2024 that risks breaking below $100, potentially opening the door to a deeper correction toward around $20.
26 Articles
26 Articles
Michael Saylor's MSTR should pause its bitcoin (BTC) buying and rebuild cash
CryptoQuant says the cash cushion behind Strategy's STRC has thinned from seven years of coverage to 14 months, and buying BTC at cycle tops has left the company with a $10.6 billion paper loss.
CryptoQuant CEO Says Michael Saylor’s Strategy May Be Preventing Stronger Bitcoin Recovery Through Continuous Buying – Here’s How
The CEO of digital assets analytics platform CryptoQuant, Ki Young Ju, says Michael Saylor’s Strategy may be hampering a Bitcoin (BTC) recovery. Ki Young Ju tells his 429,000 followers on X that by routinely buying large amounts of Bitcoin, Strategy may be reshaping the historical cycle of the top digital asset and keeping BTC in a price range amid high selling volume. “Strategy’s BTC buying here looks more like a liquidity sink than a price cat…
MSTR Falls to 23-Month Low as CryptoQuant Suggests Strategy Pause Bitcoin Purchases
Shares of Strategy formerly MicroStrategy, commonly known by its ticker MSTR, have fallen to their lowest level in nearly 23 months, sparking renewed debate about the company’s aggressive Bitcoin accumulation strategy. The decline comes amid broader uncertainty in both cryptocurrency and equity markets, with investors questioning whether continued large-scale Bitcoin purchases remain the best path […] The post MSTR Falls to 23-Month Low as Crypt…
Strategy shares slip with pressure mounting on Saylor to halt bitcoin purchases
Strategy Inc shares plunged 5.2% to $98.45 after selling $335.5 million in stock to buy 520 bitcoin, raising investor concerns as its dollar reserve dropped 38% this year and dividend coverage shrank to 14 months, with preferred shares (STRC) sliding 3.2% to $84.56 and yields spiking to 13% as experts warn continued bitcoin buying could further erode confidence.
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