Holdings surpass 780k coins! Strategy invests 1 billion USD to acquire 13,927 Bitcoins

According to the Form 8-K report submitted to the U.S. Securities and Exchange Commission (SEC) on Monday, Bitcoin reserve leader Strategy (NYSE: MSTR) spent approximately $1 billion to acquire 13,927 bitcoins between April 6 and 12, at an average price of $71,902 per bitcoin. This is also the company’s fourth-largest weekly purchase record this year.
Strategy co-founder and Executive Chairman Michael Saylor stated that after this purchase, the company’s Bitcoin holdings reached 780,897 coins. Based on the supply cap of 21 million bitcoins, Strategy now owns over 3.7% of the entire network’s supply.
However, a review of the ledger shows that Strategy’s average cost basis for Bitcoin is about $75,577 per coin, with a total investment of up to $59 billion. Currently, the holdings are worth approximately $55.4 billion, meaning Strategy is experiencing an unrealized loss (paper loss) of about $3.6 billion.
Regarding funding sources, Strategy’s recent purchases were mainly financed through the perpetual preferred stock “Stretch (STRC).” Last week, the company sold over 10.02 million shares of STRC, raising $1 billion. Strategy pointed out that as of April 12, the STRC issuance plan still has a capacity of up to $21.6 billion; the common A-shares (MSTR) also have an issuance limit of $27.1 billion.
In response to recent market volatility, Michael Saylor recently stated at an investor conference hosted by Mizuho Securities that Bitcoin may have already bottomed near $60,000. He noted that the end of a downtrend is often not due to improved market sentiment but because “the selling pressure from forced liquidations has been exhausted.”
Last week, Wall Street investment bank TD Cowen lowered Strategy’s target price by 20% to $350, citing a more conservative outlook for Bitcoin’s future price. They also revised downward their valuation of the company’s potential Bitcoin gains.
However, although TD Cowen cut the target price for the industry leader, they also shifted their focus to other digital asset reserve companies, including Sharplink, Strive, Nakamoto Holdings, and The Smarter Web Company, all of which were added to their tracking list with a “Buy” rating.