TLDR:
- Strategy 840,447 BTC now holds an unrealized gain of roughly $1.4 billion, or 2.4%.
- Bitcoin recovered sharply after falling 54% from its October all-time high of $126,000.
- Strategy repurchased $347 million of STRC, over a third of its $1 billion buyback plan.
- STRC trades at $95.62, up 35% from June’s low, nearing its $100 par value target.
Strategy has returned to profitability on its bitcoin holdings, posting an unrealized gain of roughly $1.4 billion after the cryptocurrency’s price climbed nearly 22% over five consecutive days.
The business intelligence firm’s common stock jumped 10% in Friday pre-market trading, reaching $120, its highest level in two months. The rebound follows a prolonged stretch of unrealized losses tied to bitcoin’s earlier decline.
Strategy holds 840,447 BTC, acquired at an average purchase price of $75,385 per coin. With bitcoin trading near $77,000, the company’s position now sits about 2.4% above its cost basis.
That marks a sharp reversal from earlier in the year, when bitcoin fell roughly 54% from its October all-time high of $126,000.
Bitcoin Recovery Reverses Steep Losses
The company’s fortunes had looked considerably different just weeks earlier. When bitcoin dropped as low as $58,000 in July, Strategy’s unrealized loss reached approximately $13 billion. That figure represented 20.4% of the firm’s total bitcoin cost basis at the time.
Bitcoin spent much of the past few months trading in the low to mid-$60,000 range. During that stretch, Strategy sold around 6,916 BTC, a departure from its typically accumulation-focused strategy. The move came as the firm managed liquidity amid the extended price downturn.
Alongside the Bitcoin sales, Strategy raised its U.S. dollar reserve to $4.8 billion. That cushion now provides roughly 2.8 years of coverage for dividend payments and other financial obligations. The buildup gives the company added flexibility regardless of near-term price swings.
As of writing, Bitcoin’s price stood at $77,885.57, reflecting an 8.8% increase over the past 24 hours, alongside 24-hour trading volume of $67.2 billion. Over the past seven days, the asset has gained nearly 23.8%, fueling the turnaround in the Strategy’s balance sheet.
Source: Coingecko
STRC Buyback Nears Par Value Target
A central focus for Strategy has been restoring its perpetual preferred stock, STRC, to its $100 par value. The company has repurchased approximately $347 million worth of STRC over the past four weeks. That amounts to more than a third of its $1 billion buyback authorization.
Purchases under the program have accelerated weekly, according to the company’s disclosures. STRC currently trades at $95.62, up roughly 35% from its June low of $71. The steady climb suggests growing confidence in the security’s recovery path.
Broader trends in the digital credit market may also support STRC’s trajectory. SATA, a perpetual preferred security issued by Strive Asset Management, briefly touched its own $100 par value on Thursday. That marked the first time SATA reached par in two months.
Together, the Bitcoin rally, reduced unrealized losses, and progress on STRC buybacks paint a stronger financial picture for Strategy heading into the weekend. The company’s stock performance now closely tracks bitcoin’s renewed upward momentum.
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