Amnasindhu

06/24 03:47

Strategy Should Halt Bitcoin Purchases to Restore

#World Cup Predictions: 100,000 USDT Daily #BTC Prophet: 20-Day 380 Million HTX Challenge #HTXCommunity4thAnniversary Strategy Should Halt Bitcoin Purchases to Restore Liquidity, Says CryptoQuantReserve loss: The cash reserves of the company Strategy have recorded a 38% decline since the start of 2026. Financial obligations: The firm’s annualized dividend commitments increased from $300 million to about $1.2 billion in less than six months. Reduced coverage: The dividend coverage capacity for STRC preferred stock dropped from more than seven years to just 14 months in the current year. The on-chain analytics firm CryptoQuant recommended that Michael Saylor’s company, Strategy, temporarily halt its Bitcoin purchases to focus its efforts on rebuilding its cash reserves. This warning arises following the detection of an increase in its dividend obligations, a setback in its liquid funds, and the accumulation of unrealized losses in its cryptocurrency holdings. The report issued this Tuesday by Julio Moreno, head of research at CryptoQuant, reveals that bear market pressure coincided with a drop in the value of the company’s STRC preferred stock, which retrograded last week to $82.50, establishing a record 17.5% discount against its $100 par value. Some argue that Strategy's STRC falling below the $100 mark was primarily the result of leveraged positions being liquidated. While this may be true to some extent, we believe the correction was largely driven by a deterioration in Strategy's fundamentals, as STRC's dividend… pic.twitter.com/Gt8JrU5qgG The impact of the accumulation strategy on Strategy’s liquidity The data compiled by CryptoQuant indicates that the corporation recently repurchased $1.5 billion of its 0% convertible senior notes due in 2029. This action reduced the capital cushion available to support STRC stock dividends, in a context where the company’s available cash has already decreased by 38% since the begi

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