No Bitcoin Purchases for Strategy Last Week as $6 Billion Q1 Loss Looms

Strategy (MSTR) paused its Bitcoin acquisition last week, signaling a shift in approach as crypto markets reel and capital-raising windows narrow.

In a Monday filing, the company revealed it expects to post a first-quarter net loss, primarily driven by a $5.91 billion unrealized hit on its Bitcoin holdings. The loss reflects new accounting standards that mandate digital assets be valued at fair market prices each reporting period. A $1.69 billion tax credit is expected to soften the blow.

Strategy had raised $7.69 billion in Q1, including $4.4 billion from common stock and the remainder via preferred equity. Much of that capital was deployed into Bitcoin at prices well above current levels—BTC is now trading around $77,000.

The firm’s total Bitcoin stack stands at 528,185 BTC, with an average cost basis of approximately $67,500. That puts Strategy’s holdings just 14% above water, despite the scale of investment and recent volatility.

Shares of MSTR dropped 9% in early trading Monday, bringing year-to-date losses to 10%. Still, the stock remains up 77% over the past 12 months—highlighting the company’s high-beta exposure to Bitcoin’s longer-term trend.