Michael Saylor’s Strategy Halts Bitcoin Purchases Amid Market Drop, Reports $5.91B Unrealized Loss

Strategy, the Bitcoin-focused firm co-founded by Michael Saylor and the largest publicly traded corporate holder of Bitcoin, paused its BTC acquisitions last week despite a notable price dip below $87,000, according to a recent SEC filing.

In its Form 8-K submitted on April 7, Strategy confirmed that it made no Bitcoin purchases between March 31 and April 6, a period marked by heavy volatility in the crypto market. Bitcoin surged to a high of $87,100 on April 2 before retreating below $80,000 by April 6, according to CoinGecko data.

The filing also noted that the company did not sell any shares of its Class A common stock during the same period — a method it frequently uses to fund Bitcoin purchases.

Q1 Sees $5.91 Billion in Unrealized Losses

Despite holding firm on its Bitcoin strategy, the company disclosed a significant unrealized loss of $5.91 billion on its digital assets for the first quarter of 2025. This is based on a total holding of 528,185 BTC, acquired at a cumulative cost of $35.6 billion, or an average purchase price of $67,458 per BTC.

The report stated the loss is expected to result in a net quarterly loss, partially offset by a projected $1.69 billion income tax benefit.

Saylor Defends Bitcoin Amid Volatility

While Strategy paused its acquisition strategy, co-founder and executive chairman Michael Saylor continued to publicly advocate for Bitcoin via social media. On April 3, following the asset’s sharp drop, Saylor posted: “Bitcoin is most volatile because it is most useful.”

He also weighed in on broader macroeconomic risks, referencing recent tariff announcements by former U.S. President Donald Trump: “Inflation is just the tip of the iceberg… Bitcoin offers resilience in a world full of hidden risks.”

Looking Ahead

The decision to hold off on purchases marks a rare pause for Strategy, which has consistently added to its Bitcoin reserves over the past several years. The firm’s long-term position on Bitcoin remains bullish, but the recent filing suggests a more cautious short-term stance amid ongoing market fluctuations.

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