Strategy Goes Four Weeks Without Buying Bitcoin Amid Declining Prices
Strategy, the company behind the popular Bitcoin treasury, has not purchased any BTC for four consecutive weeks. This pause in buying comes after a prolonged period of aggressively issuing stock and debt to fund Bitcoin purchases.
Strategy's massive stockpile soared in value as Bitcoin's price continued to rise from 2024 through 2025. However, with the price having fallen nearly halfway from its peak last year, Strategy is now focusing on fortifying its balance sheet instead of buying more BTC.
The company has sold stock to raise funds and increase its cash reserves to $3.2 billion. This move may provide a safety buffer in case Bitcoin's price continues to decline, but it also raises concerns about the sustainability of Strategy's business model.
Strategy's current approach relies on raising capital through debt and stock issuances to fund BTC purchases. However, this strategy is less effective when prices are low, as more shares and dilution are required to raise the same amount of capital.