Strategy Sells Bitcoin to Push STRC Toward $100 Target

Strategy is making steady progress toward closing the final price gap on its preferred stock, known as STRC. Recent market data shows the asset trading around $95, marking a strong recovery from its low point of $74 in late June. The company combined open market repurchases with a 12% annualized dividend to lift the share price closer to its $100 target. Over a three week stretch, the firm acquired roughly 2.3 million shares for about $215 million, using funds from the $1 billion repurchase program authorized earlier this year.

To help fund these buybacks, Strategy sold 3,328 Bitcoin for roughly $213 million over a two week period. This included selling 1,690 coins for $108 million at an average price of $64,262. Even with these sales, the firm remains the largest corporate holder of Bitcoin globally, with total holdings sitting at 840,447 coins. The recent transactions highlight a shift in strategy, with the company occasionally monetizing portions of its digital asset treasury to support preferred securities and other financial obligations.

Alongside the stock buybacks, Strategy expanded its US dollar reserves to a record $4.65 billion after raising $653 million through common stock issuance. CEO Phong Le noted that the cash buffer grew significantly since the introduction of the new capital framework in late June. Executive Chairman Michael Saylor added that the dollar reserve duration now stands at about 2.7 years, meaning the firm holds enough cash to cover nearly three years of preferred dividends and debt interest payments.

Traders and market watchers will want to monitor whether Strategy continues selling small portions of its Bitcoin stack to finish closing the remaining five dollar gap on STRC shares. The health of the broader crypto market will likely dictate how easily the firm can balance these treasury adjustments moving forward.