TLDR
- Strategy added 2,932 BTC this week at an average price of $90,061 per coin.
- The total BTC holdings of Strategy have reached $54.19 billion.
- This week’s purchase was smaller compared to the previous two weeks.
- Strategy raised $257 million through MSTR common stock sales.
- An additional $7 million was raised through the STRC preferred stock.
Strategy continued its BTC acquisition but slowed down after two larger weeks, now purchasing 2,932 BTC for $264 million. The average purchase price reached $90,061 per BTC, pushing Strategy’s total BTC holdings to $54.19 billion. This marks a reduced pace compared to prior billion-dollar acquisitions.
Strategy Uses Mixed Funding for BTC Buys
Strategy tapped its MSTR common stock and STRC preferred stock for this week’s purchase, raising a total of $264 million. Of this, $257 million came from its MSTR at-the-market (ATM) stock facility, while $7 million was raised through STRC.
The MSTR stock traded at $163.11, recovering slightly from recent lows following anticipation of this week’s BTC addition. Although Strategy attempts to limit stock dilution, the pace of ATM usage has exceeded earlier expectations. Demand for MSTR remains, especially after Sumitomo Mitsui revealed holding $96.6 million in common shares.
Strategy remains the largest BTC holder among corporate buyers and continues buying through OTC channels without impacting market prices. Investors remain focused on the company’s February 5 earnings call for further insight into treasury management. Market participants continue to track the balance between BTC acquisitions and shareholder dilution.
Strategy continues using STRC to support BTC purchases while managing dividend payouts to preferred shareholders. STRC was active this week with $103 million in trading volume but contributed less funding compared to MSTR sales.
The STRC yield remains high at 11.06%, and Strategy has kept payments current to retain market confidence. However, analysts warn that increased issuance could raise dividend obligations and limit flexibility for future BTC purchases.
STRC trades close to its $100 par value, allowing new sales without deep discounts, though demand slightly declined this week. The company aims to issue STRC within the $99 to $100 range to support treasury growth. Strategy has focused on balancing equity dilution with preferred stock expansion while maintaining solvency and meeting its obligations.
SATA also trades closer to $100 and could join STRC in future fundraising rounds. Both instruments support Strategy’s BTC strategy by enabling large capital access without total reliance on common equity. The continued use of multiple instruments shows Strategy’s intent to manage capital inflows without disrupting its long-term treasury goals.
BTC, MSTR, and Preferred Markets React
BTC showed minimal reaction to this week’s purchase, staying relatively stable despite Strategy’s continued OTC buying. Strategy’s current average BTC price now acts as a reference floor above $76,000, according to recent market data. Analysts suggest this could influence investor sentiment, though the market remains cautious.
MSTR stock remains volatile and reacts faster to BTC movements, often amplifying price changes both up and down. Despite some recovery, MSTR faces pressure from ongoing dilution and constrained rally potential. Shareholders voice concerns about issuance pacing and its effects on common stock upside.
Strategy’s preferred shares continue attracting volume, though not enough to fully offset equity dilution effects. While STRC outpaced other preferred instruments, its yield and price must stay stable to remain viable.
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