Strategy Bitcoin accumulation is back in focus after Executive Chairman Michael Saylor hinted at another possible purchase. The company reported 848,250 BTC in its October 12 disclosure, acquired for approximately $64 billion. However, Saylor’s latest social media post did not confirm another transaction or disclose its potential size.
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In an October 18 post on X, Saylor wrote, “We found room for more orange,” alongside a chart tracking Strategy’s Bitcoin purchases. The message renewed attention on the company’s accumulation strategy as Bitcoin traded near $82,000. Investors are now watching for a new filing confirming whether additional coins were acquired.
Source: Michael Saylor’s X Post
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Strategy Bitcoin Purchase Adds $21.5 Million in Holdings
Saylor’s post followed Strategy’s latest confirmed purchase of 250 BTC between October 5 and October 11. The company paid about $21.5 million with the average price for each coin being $86,194, inclusive of all charges. The purchase increased the company’s BTC holdings to 848,250 BTC from 848,000 BTC.
The October 18 message did not include a purchase amount, transaction date or confirmation that another acquisition had occurred. Strategy regularly announces its Bitcoin transactions through corporate disclosures, providing details about the number of coins purchased, total spending and average acquisition price. A subsequent announcement is needed to verify any new buying activity.
Strategy had previously acquired 1,665 BTC in the week ending September 27 and 334 BTC in the week ending October 4. The recent acquisition of 250 BTC by the corporation is lower compared to those in the earlier weeks.
Strategy Holds Nearly 850,000 Bitcoin
Strategy’s total acquisition expenses for its 848,250 BTC were reported to be close to $64 billion, with an average acquisition price per coin being $75,444. Strategy Bitcoin still holds the title of one of the biggest corporate owners of Bitcoin. Due to an increase in the number of coins held by the corporation, changes in Bitcoin’s market price will become more relevant for the total value of its treasury.
On October 18, Bitcoin was trading for approximately $82,018 according to the historical data of the market. This meant that the price of Bitcoin was higher than the average acquisition cost of Strategy. At the aforementioned price level, the market value of the corporation’s Bitcoin could have been estimated at approximately $69.5 billion without taking into account the debt and other liabilities of the company.
The new acquisition of Bitcoin was funded by Strategy through the sales of MSTR common shares, which allowed the corporation to collect approximately $21 million and another $500,000 from its cash assets.
Strategy Bitcoin Reserves Grow as STRC Buybacks Continue
Strategy also repurchased approximately $192.4 million worth of STRC preferred shares during the week ending October 11. The amount was nearly nine times the $21.5 million spent on Bitcoin purchases during the same period. The figures highlight how the company allocated capital between cryptocurrency accumulation and management of its preferred-stock securities.
STRC is the variable-rate preferred stock of Strategy Bitcoin and thus requires paying dividends. By purchasing its shares, Strategy reduces the amount of securities and therefore may pay lower dividends. However, just the figures do not show the reason for this transaction and its consequences for the firm.
The company also reported $354.8 million remaining under its preferred-stock repurchase authorization and $1 billion under its MSTR common-stock repurchase program. These are the amounts of authorization, but not purchases. Strategy’s further capital allocation will depend on its financing and cash needs.
Bitcoin Price Keeps Strategy’s Holdings Above Cost
BTC was trading around $82,600 as indicated in the market update by CryptoPulseX on October 19. This was following the technical bounce that happened as a result of BTC holding support at 80,500–81,000. These levels provide short-term market context, not confirmation of a sustained recovery.
BTC’s current market price remains relevant to Strategy since the value of its substantial holding changes with each major change in the market price. A price below the average cost of $75,444 would mean that the total holding value has fallen below its total acquisition value, excluding other financial factors. An increase in the price would increase the value but would not ensure that there is a profit at the company level.
As reported by Strategy on October 11, the USD Reserve stands at $4.88 billion, and the USD Cash at $640.5 million. It is worth noting that the former is to ensure dividends for preferred stockholders and interest for debts, while the latter is used for other purposes.
The next event of significance is the next officially reported purchase by the firm. In absence of such disclosure, Saylor’s post on October 18 would only be considered an indication of more purchases. It is also important whether the crypto could maintain support and cross $83,000.
Also Read | Strategy Bitcoin Sale: CEO Explains Why Firm Sold 32 BTC
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
