Strategy recorded its largest single Bitcoin purchase of the year in its latest accumulation move, topping the company’s previous January buy of 22,305 BTC for $2.13 billion. The transaction points to a notable change in approach. For the first time, the company is acquiring large amounts of Bitcoin below its own average cost basis, a contrast to the more restrained additions it made during the 2022 and 2023 downturns.
Buying Below Cost Basis Changes the Accumulation Pattern
Since February, Strategy has added 25,229 BTC at prices below its average purchase price. That brought its overall cost basis down from $76,052 to $75,985. The shift suggests a longer-horizon accumulation method, with purchases spread over time in an effort to smooth total entry costs rather than relying on aggressive buying only during strong market phases.
Bitcoin Volatility Hits Both the Balance Sheet and the Stock
Bitcoin reached about $126,000 in October 2025, then fell as much as 47% by early 2026. More recently, it has traded in a range of roughly $63,000 to $72,000. Strategy’s shares came under similar pressure. The stock traded at $543 in November 2024, then dropped by more than 70% to around $125 by the end of February.
New accounting rules added another layer of strain. In the fourth quarter of 2025, Strategy had to report its Bitcoin holdings at fair market value, which led to a net loss of $12.4 billion. That accounting shift tied the company’s reported financial performance even more closely to Bitcoin’s price swings, shaping both quarterly results and investor perception.
Market Cap Trades Below Bitcoin Reserve Value
Economist Peter Schiff has continued to challenge the durability of Strategy’s Bitcoin-focused model, pointing to the prolonged decline in the company’s share price and questions around its funding structure. Analyst Ted Pillows said Strategy’s market capitalization now stands 20% to 25% below the value of its Bitcoin reserves. In earlier years, investors had been willing to price the shares at more than double the company’s net asset value.
The company’s model depends heavily on rising Bitcoin prices lifting its market capitalization, which in turn can help it raise fresh capital at richer valuations. That setup becomes more fragile during sharp market swings. In 2025 alone, Strategy raised more than $21 billion through stock and bond sales. Under its so-called 42/42 Plan, it is targeting $84 billion in capital by 2027.
The cash raised is intended to cover as much as 21 months of dividend and interest payments, creating a buffer that would allow the firm to avoid selling Bitcoin even if market conditions weaken. Michael Saylor has handed the CEO role to Phong Le, but he remains the public face of Strategy. Since the company’s first Bitcoin purchase in 2020, Saylor has held to the same thesis: Bitcoin will appreciate against global currencies over the long term. The latest round of purchases came below the firm’s average cost, yet the accumulation policy remains intact.