Strategy Fuels Bitcoin Bag with 850 BTC Buy Despite Market Decline

Strategy has announced that it recently added more Bitcoin (BTC) to its reserves, buying 850 BTC for $99.7 million at an average price of $117,344 each. This latest addition comes as both Bitcoin and Strategy’s own stock face downward pressure. Regardless, Strategy is doubling down on its belief that Bitcoin is a long-term store of value. 

Strategy’s Growing Bitcoin Treasure Chest

With this latest purchase, Strategy now holds 639,835 BTC. The company said it acquired these holdings at a total cost of $47.33 billion, with an average purchase price of $73,971 per Bitcoin. According to the Nasdaq-listed firm, its Bitcoin investment has generated a yield of 26% so far.

Funding for this latest round came from selling shares. An SEC filing revealed that Strategy raised $80.6 million from MSTR stock sales and $19.4 million from STRF shares. In his usual manner, co-founder Michael Saylor hinted at the purchase on X a day earlier. His post signaled that the company intends to keep buying and has no plans to sell.

This marks Strategy’s eighth straight week of Bitcoin purchases, continuing a buying streak that started at the end of July. 

Just last week, the company added 525 BTC for $60 million, which was one of its smallest weekly buys this year. Before then, Strategy bought 1,955 BTC for $217.4 million on September 8. The consistency shows a deliberate long-term approach, regardless of short-term market movements.

Market Conditions Weigh on Stock and Bitcoin

Despite the aggressive Bitcoin strategy, the company’s stock has been under pressure. MSTR is currently trading around $336, down from last week’s $344 closing price. 

The stock recently touched a five-month low of $323, though it remains 14% higher year-to-date. Over the past month, MSTR has shown little movement, gaining less than 2%.

Bitcoin is also falling. The top cryptocurrency is now trading just below $112,568, down 2.17% in the past 24 hours, according to CoinMarketCap data. The wider crypto market is under pressure as rising U.S. Treasury yields and other global economic factors push investors to sell digital assets. 

Bitcoin Debate Heats Up with Calls for $100K Drop and $150K Rally

While Strategy keeps buying more Bitcoin, not everyone agrees with the move. Longtime Bitcoin critic Peter Schiff has warned that Bitcoin could drop below $100,000, while he expects gold to rise to $4,000. His comments highlight the clear divide between traditional investors and Bitcoin supporters like Saylor.

In contrast to Schiff’s bearish belief, James Check, lead analyst at Glassnode, earlier forecasted a potential price peak of $120,000 to $150,000 in the current market cycle for the coin. This might come to pass as many traders are now watching to see if October, often a strong month for Bitcoin, will spark another rally.