Saylor buys $101M worth Bitcoin as price crashes

Strategy (NASDAQ: MSTR) is back to doing what it does best. Buying Bitcoin (BTC). 

The buying comes just a week after the Bitcoin treasury giant led by Michael Saylor rattled crypto markets with its first Bitcoin sale in four years. 

Between May 26 and May 31, Strategy sold 32 BTC for roughly $2.5 million. It was Strategy's first Bitcoin sale since 2022, and it brought the company's holdings down to 843,706 BTC. 

The proceeds were earmarked for preferred stock dividends, and the move broke from Saylor's long-held vow never to sell. 

The reaction was swift. Bitcoin declined from approximately $73,800 to below $60,000 last week. 

However, at press time, it had recovered and gained about 3.18% in the past 24 hours to trade near $63,707, as per Decibel. 

BTC/USD on June 8. Source: Decibel

Decibel

MSTR shed close to 18% over the following days. 

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Funding the Bitcoin machine

Strategy acquired 1,550 BTC between June 1 and June 7 for $101.3 million, an average of $65,332 per coin, according to an 8-K filed on June 8.

The purchase lifts total holdings to 845,256 BTC.

Notably, Strategy bought back in at prices far below its average sale price, which was $77,135.

The latest purchases were financed through Strategy's at-the-market equity program, which sold 1,409,600 MSTR shares for net proceeds of $181 million during the week.

As of June 7, the management-designated United States dollar reserve stood at $1 billion, a buffer for preferred dividends and debt interest. 

At press time, MSTR stock was up over 6% to trade at $127.93 during pre-market hours. 

Related: Top analyst warns of ‘Black Monday’ as Bitcoin crashes to 5-month low