Strategy shares fall after selling $2.5 million in bitcoin, its first sale since 2022
MicroStrategy Chairman and CEO Michael Saylor pauses as he speaks during the Bitcoin 2022 Conference at the Miami Beach Convention Center on April 7, 2022 in Miami, Florida.
Marco Bello | Getty Images
Michael Saylor Strategy Bitcoin sold off for the second time last week as geopolitical uncertainty continues to weigh on the bitcoin price and the crypto market overall.
Between May 26 and May 31, Strategy sold 32 coins for $2.5 million, averaging $77,135 per token, according to a statement on Monday. filing. The company also raised $128.3 million by selling 801,994 shares of stock during the same period.
Shares fell more than 6% in premarket trading. bitcoin It fell 2% to its lowest level since April 13, according to news reports.
This is Strategy’s second sale of bitcoin and comes just after the company announced a turning point from Saylor’s long-running sale. “Never sell” Strategy to actively manage its balance sheet. This includes potentially selling bitcoin if it improves bitcoin per share metrics, pays dividends or strengthens the company’s financial position.
Strategy CEO Phong Le said on the company’s earnings call in early May: “We want to be net collectors of Bitcoin; we are increasing our total bitcoin, but more importantly we are increasing our bitcoin per share because we think that will be the most profitable for MSTR over the long term.”
A big part of the company’s new focus STRCA yield-bearing security issued by the strategy that allows investors to earn income backed by the company’s bitcoin-heavy balance sheet, rather than purchasing bitcoin directly. The goal is to turn bitcoin holdings into a credit engine that allows investor demand for income products to grow the Strategy’s bitcoin pile faster than simply buying and holding.
The last time the strategy sold bitcoin It was in December 2022During the Bitcoin bear market, marked by interest rate hikes, the collapse of FTX, and widespread crypto proliferation from interconnected lending platforms and hedge funds.
Bitcoin has reached more than 42% of its all-time high of $126,000. Bitcoin ETFs recorded their 10th consecutive day of net outflows on Friday and their longest streak of net outflows ever.
Bitcoin this year
