Bitcoin Trades at $64K, Below Strategy's $75,385 Average Cost

Bitcoin News

Strategy entered the Aug. 10-16 week holding 840,447 Bitcoin bought for $63.36 billion, an average of $75,385 per coin, and left it holding the same number. With Bitcoin near $63,530 during Monday trading, the position was roughly $9.96 billion below its cost basis. The company's Form 8-K, filed Monday with the SEC, records no Bitcoin purchases or sales across the period. Instead, the week's capital work took place on the equity side: 3,458,866 MSTR shares were sold for $333.7 million in net proceeds, and each dollar was assigned to existing obligations. $149.1 million went into the USD Reserve, $132.2 million repurchased STRC preferred stock and $52.4 million paid STRC dividends. The reserve balance reached $4.80 billion by Aug. 16, which the company's investor-relations disclosure links to about 2.8 years of preferred dividend and interest coverage. The unchanged Bitcoin position, roughly 4% of Bitcoin's capped supply, signals a sequencing choice: liquidity is being built before the next accumulation phase, with no reduction in the company's exposure in the latest week.

Monday's filing was the eighth consecutive weekly statement to show no Bitcoin purchase, a streak that began after the week ended June 21, when Strategy bought 520 BTC for $34.9 million at an average of $67,068 per coin. No preferred stock was sold in the latest week, and the STRC issuance channel that once financed accumulation remained halted. The interval has also absorbed a $216 million Bitcoin sale and the opening phase of a capital-structure overhaul. In May, Executive Chairman Michael Saylor pledged to buy 10 to 20 Bitcoin for every Bitcoin the company sold; the subsequent filings show none. The week's buyback work was concentrated in STRC: 1,388,720 shares were repurchased at about $95.19 each, close to 5% below the $100 par value and just above its $94.78 Friday close. Strategy had said in June it wanted that security to trade near par, leaving $653 million of the $1 billion preferred repurchase authorization and $1 billion for common stock.

A week earlier, the company had been on the other side of the market. For the period Aug. 3-9, Strategy sold 1,690 Bitcoin at an average of $64,262 per coin and used the entire proceeds to repurchase STRC shares, according to the company's periodic disclosures. Part of the proceeds from around 6.59 million MSTR shares sold in that same earlier week was also directed to the USD Reserve, lifting the balance to $4.65 billion. By Aug. 16 that reserve had grown to $4.80 billion. The latest period, by contrast, contained no Bitcoin sale, and the STRF, STRK and STRD preferred classes saw neither sales nor repurchases. The difference between the two weeks is visible in the use of proceeds: the prior week's Bitcoin sale was fully recycled into preferred-share buybacks, while the most recent week's MSTR sale was split among dividends, buybacks and the dollar reserve. Strategy has said it will continue to publish the Bitcoin holdings and reserve balance on its dashboard.

Broken down by security type, the week's equity raise was entirely in Class A common stock, with the at-the-market program generating about $96.48 per share after commissions. The SEC filing shows 3.46 million Class A shares sold for net proceeds of $333.7 million, a $132.2 million STRC repurchase, and the same 840,447-BTC balance plus a $4.80 billion reserve as of Aug. 16. The equal-date snapshot puts the digital-asset book and the cash buffer side by side, and the funding arithmetic shows the raise was fully absorbed by preferred-share servicing and reserve growth. No portion of the $333.7 million was left over for digital-asset purchases. For investors, the filing answers the question of where the marginal dollar went: into a reserve that supports about 2.8 years of preferred dividends and interest, not into Bitcoin. The company has not announced an intention to resume buying in the current week; the next Form 8-K will show whether the pause extends.

In a Monday statement tied to the filing, CEO Phong Le reinforced the company's long-term Bitcoin posture, saying, "We're the J.P. Morgan of the crypto economy," and argued that selling 1,000 of 840,000 coins is "irrelevant to the conversation." The reassurance comes as MSTR shares have fallen more than 60% year-to-date, trading near $95 — almost 80% below their 2024 record. Executive Chairman Michael Saylor separately highlighted the capital-structure effects of the week's moves: the USD Reserve now extends to 2.8 years of coverage, up 41 days, while the STRC BTC Credit tightened by 4 basis points to 114. The company's pivot to common-stock sales for reserve building, rather than Bitcoin accumulation, remains the central theme of its current capital strategy.

(as of 17:59 UTC) COINOTAG's proprietary 42-indicator composite S/R scoring engine rates the nearest strong support at $62,979 at 78/100, driven by the Fibonacci 0.214 retracement, pivot points, ATR lower band and point of control. Resistance at $67,264 scores 62/100 on Fibonacci 0.382 and low-volume nodes. Derivatives positioning at Binance, Bybit and HyperLiquid shows funding at 0.0049% and open interest near $13.53 billion; the long/short account ratio of 1.69 places 62.9% of accounts long. The Fear & Greed Index reads 31. A close above $67,264 opens the upside; losing $62,979 would put the market in a bear market setup, exposing $61,303 as MACD stays bearish and RSI at 52.11 supports a sideways trend.