Bitcoin Price Slips After MicroStrategy Halts Buying Spree

After snapping up bitcoin almost weekly for three months, MicroStrategy (NASDAQ: MSTR) abruptly paused its purchases in late January—which coincided with a noticeable dip in the coin’s price.

In a post, co-founder and executive chairman Michael Saylor confirmed that between January 27 and February 2, MicroStrategy refrained from purchasing any new Bitcoin and did not raise additional funds through its ongoing at-the-market equity offering. The same was also declared in the company’s recent SEC filing.

Though Saylor did not explicitly explain why, the announcement came only days ahead of a major issuance of 8% Series A Perpetual Strike Preferred Stock, due to close on February 5. The new offering is expected to raise $563.4 million in net proceeds, which the firm says may later be used to acquire more bitcoin.

Cambria Gold Mines — sponsored Sponsored · Cambria Gold Mines

The new stock issuance, traded under the proposed ticker “STRK,” offers an 8% dividend and has embedded conversion rights that could dilute shareholders if exercised under certain conditions. But the firm argues that mixing equity sales, convertible notes, and now preferred shares, gives it the flexibility to seize bitcoin-buying opportunities while still meeting ongoing operational needs.

Bitcoin, which had hovered above $100,000 in late 2024 before sliding into the mid-$90,000 range, experienced further downward pressure after the buying spree pause. Without the “Saylor bid,” as some call it, short-term sentiment turned more cautious, and bitcoin saw a noticeable dip, dipping below $95,000 on some exchanges.

Currently, bitcoin is again hovering near the $100,000-mark.

Saylor’s bitcoin acquisition strategy started in mid-2020. By early February 2025, the company has accumulated 471,107 bitcoins at an average price of roughly $64,511 per coin.


Information for this briefing was found via Decrypt and the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

A $2.2B Gold Project Is Outgrowing Its Plan | Michael Henrichsen – Gold X2 Mining

Pay for the Copper, Get the Gold Free | Rob McEwen – McEwen Inc

This Gold Discovery Was Already Huge. Now It’s Becoming a Monster. | Goliath Resources

Recommended

Golden Cariboo’s First Quesnelle Resource Estimate Tallies 1.19 Million Gold Equivalent Ounces

Brixton Wraps Camp Creek Drilling With 17.58 Metres of 1.47 g/t Gold Equivalent

Related News

Tesla Plummets Below S&P 500 Entry Level, Mass Sell-off Erases 2021 Gains

Not only is Elon Musk no longer the world’s richest person, but his electric car...

Wednesday, February 24, 2021, 10:28:00 AM

Binance Resumes Bitcoin Withdrawals, Adjusts Fees To Prevent Future Congestion

Binance has resumed bitcoin withdrawals following a second pause, as the Bitcoin network experiences extraordinary...

Monday, May 8, 2023, 08:04:15 AM

El Salvador Passes ‘Landmark Legislation’ For Digital Assets, Including Those That Aren’t Bitcoin

El Salvador is not just a bitcoin country anymore. On Wednesday, its Legislative Assembly passed...

Thursday, January 12, 2023, 10:57:00 AM

Jack Dorsey’s Square Buys $170 Million More In Bitcoin

Twitter CEO Jack Dorsey’s financial services company Square has doubled down on Bitcoin, and increased...

Thursday, February 25, 2021, 02:45:00 PM

Max Keiser Wants to ‘Settle the Score’ with Donald Trump After Comments Against El Salvador’s Nayib Bukele

Former President Donald Trump’s recent comments at the Republican National Convention have caused a stir...

Monday, July 22, 2024, 01:41:00 PM