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Strategy’s latest Bitcoin purchase failed to lift its stock price as dilution concerns, volatility, and market timing overshadowed the announcement during a sharp crypto selloff. Strategy disclosed on February 2 that it acquired 855 Bitcoin for about $75.3 million. The firm paid an average price of $87,974 per coin. Total Bitcoin holdings now stand at 713,502 BTC.
The company’s total historical Bitcoin cost reached $54.26 billion. The average purchase price across all holdings stands at $76,052 per Bitcoin. Despite this accumulation, Strategy shares fell nearly 3%, standing at $145.
The stock decline came as Bitcoin traded sharply lower during the session. Intraday price swings diluted the impact of the purchase announcement. Equity investors instead focused on volatility and funding mechanics.
Bitcoin traded near $74,600 during the session before rebounding about 1.5%. That move followed a deeper drop that pulled prices below key levels. As a result, crypto-linked stocks reacted sharply. Strategy shares tend to amplify Bitcoin volatility. When price swings increase, investors often reprice the equity’s volatility premium. This occurs even when spot Bitcoin stabilizes later in the day.
The purchase itself represented a small addition to the treasury. The 855 BTC purchase equaled about 0.12% of total holdings. That size failed to materially shift valuation assumptions. Because of that scale, shareholders already exposed to Bitcoin through Strategy stock saw limited incremental impact. The market reaction reflected that marginal change rather than the headline value.
Strategy disclosed in an 8-K filing that it funded the purchase through an at-the-market equity sale. The company sold 673,527 common shares. Net proceeds totaled $106.1 million. When equity issuance funds Bitcoin purchases, dilution effects often dominate intraday trading. Investors typically focus on share count expansion and near-term flow pressure rather than long-term asset accumulation.
The optics also proved challenging due to pricing. Strategy paid $87,974 per Bitcoin. At the same time, Bitcoin traded below that level. The tranche appeared immediately underwater.
This mismatch weighed on sentiment. Market participants often react negatively when companies buy assets above prevailing prices during periods of market stress.
Bitcoin Treasuries data showed Strategy stock trading at an mNAV near 0.95. That reading emerged as Bitcoin dipped to $74,553 over the weekend. The metric signaled premium compression. When Bitcoin declines sharply, Strategy’s premium over its Bitcoin holdings often contracts. Investors reduce exposure to proxy vehicles during risk-off conditions, even if the underlying asset later rebounds.
Bitcoin prices continued falling into midweek. The asset dropped below $72,000 on Wednesday. That marked its lowest level since November 2024. Weekly losses approached 19%. The broader selloff dragged crypto-linked equities lower. Strategy shares fell more than 5% on Wednesday. The stock is down over 23% in the past month and nearly 70% over six months.
As markets watch earnings, attention remains on Strategy’s capital structure. All eyes are on the company as Michael Saylor prepares to discuss results.
The divergence between Bitcoin accumulation and Strategy stock performance raises a central question: Can equity investors look past dilution and volatility to focus on long-term Bitcoin exposure?
Read More: Tether Rethinks Funding Strategy as Valuation Concerns Push Raise Toward $5B
Strategy added 855 Bitcoin through an ATM share sale, lifting total holdings above 713,000 BTC. Still, MSTR stock fell as Bitcoin price volatility, equity dilution, and premium compression offset the accumulation news. The episode shows how funding methods and timing shape market reactions alongside treasury growth.
