MSTR shares bounce from recent lows as Strategy makes small $22.1M BTC buy

Strategy added a fresh weekly boost to its treasury, though the latest 196 BTC purchase was more of a morale booster. The latest purchase happened as MSTR share prices still held above $300.

Strategy continued its buying streak of small additions, with another 196 BTC put away in its treasury. The purchase was expected, as Executive Chairman Michael Saylor signaled on social media late on Sunday. 

The latest weekly purchase meant Strategy was “buying the dip” as BTC sank as low as $109,000. Following the announcement, BTC traded at $112,222, as the crypto market attempted a recovery. 

Strategy acquired the new batch at an average price of $113,048, closing in on an average price of $74,000 per coin.

Strategy has bought smaller BTC batches for three weeks in a row, an unusually long streak. The purchase is the smallest since August 11, when Strategy added only 155 coins. In the coming weeks, Strategy may also skip a week as it prepares for the Q3 report roundup. 

Strategy uses MSTR again

To complete the current purchase, Strategy issued more MSTR common stock despite the lowered price. Based on the recent filing, the company raised $116.4M from MSTR common stock issuance. 

The company also raised $400K in STRD preferred shares. The current weekly raise is for a total of $128.1M, though only $22.1M went toward BTC purchases. In previous weeks, Strategy invested all its proceeds into BTC. 

However, based on its new issuance rules, the company can also issue some of its common or preferred shares for operational costs. The company must still cover mandatory dividends for its preferred shares. 

Following the latest stock issuance, MSTR shares traded at $306.09. The mNAV asset value recovered to 1.44, though still not above the 2.5 limit, which would indicate much better health. Strategy is now trying to extend its purchases while lacking the initial enthusiasm for its MSTR shares. 

However, BTC purchased at earlier stages is now significantly more valuable, despite the drop in share prices. 

When it comes to the preferred shares, only STRF trades at $109, while STRK, STRD, and STRF trade under $100, offering a discount and varying levels of risk. 

Can Strategy recover its MSTR price levels? 

MSTR managed to retain the $300 level, setting up expectations for recovery by the end of 2025. MSTR bounced from its one-month lows and is trading around the middle of its range for the past six months. 

The common stock dipped to a recent low of $300.70, while BTC was also trading under $110,000. MSTR thrives best during periods of exuberant trading, where demand for more BTC keeps the share prices high.

Even outside Strategy’s buying, smaller companies are still adding BTC to their balances, even with sporadic purchases. The DAT company trend has lost some momentum, and companies have also erased a significant part of their market value, as Cryptopolitan reported. However, even the presence of treasuries helps with the long-term holding trend for BTC.

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