Strategy sold 3,588 Bitcoin within a week for approximately $216 million, using the proceeds to fund dividend payments and maintain its cash position. The sale marks one of the company's rare Bitcoin disposals since a tax-related liquidation in 2022.
Two batches sold, average price near $60,000
According to a Form 8-K filed on June 29, Strategy sold 1,363 BTC at an average price of $59,256 between Monday and Tuesday last week, and another 2,225 BTC at an average price of $60,773 from Wednesday to Sunday. Including a 32 BTC transaction reported at the start of June, the total comes to 3,588 BTC. After the sale, the company's Bitcoin holdings dropped to 843,775 BTC.
The same filing disclosed that dollar reserves remained unchanged at $2.55 billion, and the annual dividend yield on STRC perpetual preferred shares was raised to 12%. STRC is Strategy's preferred equity vehicle designed to provide consistent dividends. When its price falls below the target par value of $100, the company's ability to raise fresh capital through this instrument may be hindered. Yahoo Finance data shows STRC traded at $88.70 in pre-market Monday, an 11.3% discount to par.
Bernstein: forced-sale risk minimal, 17 months of cash coverage
Prior to the sale announcement, Bernstein had assessed that forced Bitcoin sales were unlikely given Strategy's liquidity structure and its ability to cover dividend and interest payments with existing cash reserves. The firm estimated the company's cash position provides approximately 17 months of coverage for dividend and interest obligations. Bernstein also noted that Strategy remains a net buyer of Bitcoin, acting as a counterbalance amid selling pressure from major U.S. miners pivoting to AI projects.
Bernstein's same report pointed to $5.5 billion in outflows from spot Bitcoin ETFs through 2026, emphasizing that Strategy's accumulation policy offers significant market support. Additionally, the company's debt equals just 13% of its Bitcoin collateral value, and the next major principal payment of roughly $1 billion is not due until Q3 2028. The firm maintains a year-end Bitcoin price target of $150,000 and remains optimistic about long-term trends.