TLDR
- Strategy (MSTR) stock surged 9% in after-hours trading Friday after Chairman Michael Saylor hinted at the company’s 99th Bitcoin purchase
- The company holds 714,644 BTC worth $49.36 billion but faces $5.1 billion in unrealized losses with Bitcoin trading at $69,126
- Strategy recently bought 1,142 BTC for $90 million at $78,815 per coin, maintaining an average cost basis of $76,056 per BTC
- Management pledged to continue quarterly Bitcoin purchases indefinitely despite current unrealized losses
- Analysts point to $72,000 as key Bitcoin resistance, with potential upside to $76,000-$80,000 on a breakout
Strategy stock jumped nearly 9% in after-hours trading Friday following Chairman Michael Saylor’s cryptic social media post hinting at another Bitcoin purchase. The message came despite the company facing over $5 billion in unrealized losses on its massive cryptocurrency holdings.
Strategy Inc, MSTR
Saylor posted “99>98” on X alongside Strategy’s Bitcoin portfolio tracker. Market observers interpreted this as confirmation the company’s 99th Bitcoin purchase would exceed the size of its 98th transaction.
The company bought 1,142 BTC on February 9 for $90 million at an average price of $78,815 per coin. That acquisition brought total holdings to 714,644 BTC valued at roughly $49.36 billion based on current Bitcoin prices near $69,126.
Strategy maintains an average purchase price of $76,056 per BTC with a total cost basis around $54.35 billion. The gap between cost and market value creates an unrealized loss of approximately $5.1 billion.
Commitment to Continued Accumulation
Management stated the company will keep buying Bitcoin every quarter regardless of price fluctuations or unrealized losses. This marks Strategy’s 98th Bitcoin purchase since launching its treasury strategy.
The firm operates as both a software intelligence company and Bitcoin treasury vehicle. It ranks as the largest corporate holder of the cryptocurrency.
Saylor regularly uses orange dot charts to signal upcoming Bitcoin acquisitions. Each dot represents a separate purchase event. He typically posts these visuals days before SEC filings confirm new transactions.
The stock’s after-hours rally reflects investor support for the long-term accumulation strategy despite near-term losses.
Technical Levels and Market Dynamics
Bitcoin trades near $69,126 after holding weekend support levels. Analyst Ted identified $72,000 as critical resistance that could unlock movement toward $76,000 to $80,000.
Short sellers face pressure if Bitcoin breaks through key resistance. Approximately $4.34 billion in short positions risk liquidation on a 10% rally.
Some market analysts view the $60,000 to $70,000 range as an accumulation zone. CryptoQuant data suggests a $55,000 realized price with downside risk extending to $39,000 in worst-case scenarios.
Institutional investors closely monitor Strategy’s balance sheet moves as a proxy for corporate digital asset adoption trends. The company funds purchases through equity offerings and convertible debt.
Strategy’s systematic buying pattern continues across market cycles. The approach combines direct Bitcoin purchases with strategic capital raises to expand holdings.
The February 9 SEC filing confirmed the 1,142 BTC purchase at $78,815 average price, bringing cumulative holdings to 714,644 BTC acquired at approximately $54.35 billion total cost.
The post Strategy (MSTR) Stock Gains 9% as Saylor Teases 99th Bitcoin Buy appeared first on Blockonomi.
Source: https://blockonomi.com/strategy-mstr-stock-gains-9-as-saylor-teases-99th-bitcoin-buy/
