Strategy's Bitcoin Sales Spark Market Fears
Bitcoin's price has taken a hit due to recent news that Strategy (MSTR) sold off a significant portion of its cryptocurrency holdings. The company, led by Chairman Michael Saylor, had previously stated it would not sell any of its Bitcoin, fueling concerns among investors. According to reports, Strategy sold 1,638 BTC at an average price of $63,957 USD, resulting in proceeds of $104.76 million USD.
This is the third time this year that Strategy has offloaded some of its Bitcoin holdings, with the intention of using the funds for dividends and preferred stock buybacks. The sales have caused a stir among crypto investors, who are worried about the implications for the market.
The recent price drop follows news over the weekend of a hack targeting multiple cold wallets containing BTC tokens. It's estimated that $114 million USD worth of Bitcoin has been removed from 5,200 addresses since July 30 due to this widespread hacking incident.