Strategy bought 267 Bitcoin for $22.1 million last week, extending its buying streak despite fresh pressure on MSTR from MSCI index risk. Strategy disclosed in a Monday filing that the purchases occurred between Oct. 12 and Oct. 18 at an average price of $82,900 per coin. Strategy funded nearly the entire purchase by selling 140,872 MSTR shares through its at-the-market program. Strategy covered the remaining $100,000 with cash on hand. Strategy's total holdings now stand at 848,517 BTC, acquired for roughly $64.02 billion at an average price of $75,446 per coin.
Strategy spent far more on preferred stock than Bitcoin last week, using $193.1 million to repurchase 1.94 million STRC preferred shares. Strategy's board increased the digital credit securities repurchase program from $2 billion to $3 billion. The program has $1.16 billion available after completed buybacks. Strategy held $4.83 billion in its US dollar reserve as of Oct. 18. Strategy held an additional $447.3 million in cash. Those balances followed Strategy's use of $45.5 million from the reserve to pay preferred-stock dividends.
Strategy Executive Chairman Michael Saylor posted on X on Sunday that "we found room for more orange". Saylor posted "there's always room for more orange" the Sunday before, ahead of that week's purchase announcement. Strategy bought 250 BTC for $21.5 million the prior week. Saylor's weekend posts have now preceded two consecutive Monday purchase disclosures.
MSTR fell 9.5% last Friday after MSCI approved rules that could exclude Strategy from MSCI indexes. The rules raised concerns about forced selling by passive funds tracking those benchmarks. MSTR rebounded 2% in Monday's premarket trading, putting the stock just above its 50-day exponential moving average at $139.50. However, MSTR remained below its 20-day exponential moving average at $149.71 and its 200-day exponential moving average at $152.83. Those levels form the next resistance zone after repeated rejections at MSTR's descending trendline. MSTR's 100-day exponential moving average at $135 provides immediate support. MSTR has a potential downside target of $130 if the $134 level fails.
Michael Saylor 'Found More Room for Orange' as Strategy Adds 267 Bitcoin
BenzingaShare
Summary
Michael Saylor said there's "more room for orange" as MicroStrategy added 267 Bitcoin for $22.1 million between October 12 and 18, raising its total holdings to 848,517 BTC. The firm funded the purchase by selling 140,872 MSTR shares via its at-the-market program. MicroStrategy also spent $193.1 million to repurchase 1.94 million STRC preferred shares and boosted its buyback program to $3 billion. The stock dropped 9.5% after MSCI proposed rules that could exclude it from indexes but gained 2% in premarket trading. Traders using TA for crypto are watching the risk-to-reward ratio closely.
Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information.
Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.