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Strategy bought at an average of $79,670 per coin, well below Monday’s price above $85,000, so the purchase predates the short-squeeze rally and was made at a meaningful discount to where Bitcoin now trades. The buy ends roughly three weeks without incremental purchases, a stretch that included Bitcoin’s slide to around $75,000 before last week’s rebound, so the company resumed buying as price was already recovering rather than at the depths of the pullback. At $75.7 million, the purchase is small next to the company’s $63.80 billion total position, and it came from the same USD Cash pool that funded stock repurchases and dividend payments in the same week, so it reflects continuity in the buying programme rather than a fresh large allocation. MSTR shares rose alongside the broader crypto rally on Monday, though that move reflects the wider Bitcoin price action more than this specific purchase.
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Earlier:
- Bitcoin squeeze to an eight-month high prompts a widely followed analyst to sell, take profits
- Ether hits highest since January: what to watch to see if the gain holds (ps. one Whale is not a trend)
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Strategy resumed buying Bitcoin below $80,000 last week, just before the market’s squeeze-driven run past $85,000.
Summary:
- Strategy disclosed in a Monday SEC filing that it bought 950 Bitcoin for $75.7 million between September 14 and 20, its first purchase since August 31.
- The average purchase price was $79,670, funded from the company’s USD Cash reserve rather than new share sales.
- Total holdings now stand at 846,000 BTC, acquired for an aggregate $63.80 billion at an average price of $75,416, according to the filing.
- The same filing shows $174.0 million of USD Cash used to repurchase STRC stock and $57.4 million of the separate USD Reserve used to fund preferred dividends and interest during the same week.
- As of September 20, the USD Reserve stood at $5.04 billion and USD Cash at $1.05 billion.
- The $79,670 purchase price sits well below the $85,000-plus level Bitcoin reached in Monday’s short-squeeze rally, so the buy predates the latest leg higher.
Strategy has resumed buying Bitcoin after a roughly three-week pause, according to a regulatory filing published on Monday. The company, led by Executive Chairman Michael Saylor, bought 950 BTC for $75.7 million between September 14 and 20, at an average price of $79,670 per coin. It was the first purchase since August 31, a stretch that included Bitcoin’s decline to around $75,000 before the price began recovering last week. The purchase lifts Strategy’s total holdings to 846,000 BTC, acquired for an aggregate $63.80 billion at an average price of $75,416.
The timing matters because Strategy bought back in before Monday’s sharper move. Bitcoin traded above $85,000 on the day the filing was published, an eight-month high driven by a wave of short liquidations, which means the company’s $79,670 average sits well below where the market has since gone. That gap does not confirm the purchase was deliberately timed ahead of the rally. The filing shows only when the buying happened, not why, and Strategy has bought through both rising and falling markets in the past.
The same filing shows the purchase was one of several uses of company cash that week. Strategy used $174.0 million from its USD Cash account to repurchase STRC stock, and a further $57.4 million from a separate USD Reserve to fund dividends on its preferred stock and interest on its debt. The company keeps the two pools distinct: the USD Reserve is set aside for those fixed obligations, while USD Cash is available for broader purposes, including Bitcoin purchases. As of September 20, the USD Reserve held $5.04 billion and USD Cash held $1.05 billion, giving some sense of the capacity still available for either use.
What to watch next: the more informative signal is whether Strategy keeps buying now that Bitcoin has moved well above its most recent purchase price, since a pause during a rally would say something different about the company’s appetite than a pause during a decline. Also worth tracking is how the USD Cash balance moves against the STRC repurchase programme, since both draw from the same pool and a rising share of it going to buybacks would leave less for further Bitcoin purchases. Readers should treat each weekly filing on its own rather than assuming last week’s pattern will repeat.
The terms behind the story
USD Cash and USD Reserve
Strategy splits its liquidity into two accounts. The USD Reserve is intended to cover dividends on its preferred stock and interest on its debt. USD Cash is used more broadly, including for buying Bitcoin, so the two figures show how much room the company has for each kind of spending.
Average purchase price
This is the total amount Strategy has spent on Bitcoin divided by the coins it holds, updated with each new purchase. Comparing it with the current market price shows the paper gain or loss on the whole position, not just the latest buy.
8-K filing
A form public companies must file with the SEC to disclose material events promptly. Strategy uses these filings weekly to report Bitcoin purchases and related capital moves, which is why the numbers here come directly from the company rather than a secondhand report.
This article was written by Eamonn Sheridan at investinglive.com.
