Bitcoin dropped below $64,000 on June 23, retreating more than 13% from its June 1 level of $74,000. The trigger was Strategy's sale of 32 BTC on Monday — a tiny fraction of its total holdings, but the timing sent shockwaves through the market.
Why a Tiny Sale Shook Crypto
Strategy, led by Michael Saylor, has been the most visible corporate Bitcoin backer since 2020. Selling even 32 coins was seen as a potential change of stance. After the disclosure, Bitcoin dropped sharply and MSTR shares fell about 15%, leaving the company with an unrealized loss of roughly $10.8 billion.
Cramer: 'That's a Murder of Bitcoin'
CNBC host Jim Cramer said the sale rattled confidence because investors believed Saylor's firm had been propping up Bitcoin. He called Strategy a 'key trampoline' for BTC but said he may rethink his bullish view. Cramer referred to the price action as a 'murder' and criticized Strategy's position.
ETF Outflows Add to the Pain
SoSoValue data showed U.S. spot Bitcoin ETFs saw $2.43 billion in net outflows in May and another $1.4 billion in the first three days of June. Bitwise advisor Jeffrey Park said some money may be rotating to prepare for IPOs from SpaceX and Anthropic. Institutional demand is weakening just as corporate support is questioned.
Schiff: Saylor Is Trapped
Peter Schiff, a longtime Bitcoin critic, argued this is not normal volatility but investors exiting to avoid bigger losses or chase other opportunities. He said Strategy needs to keep buying to support BTC, but if MSTR trades at a discount, its ability to raise equity weakens. Schiff called it a 'vicious cycle' that will eventually break the company's Bitcoin play.