Saylor Says Bitcoin Bottom Is In as Strategy Buys More Coins

Strategy Inc Class A (NASDAQ:MSTR) Executive Chairman Michael Saylor stated that Bitcoin has established its cycle bottom and is positioned to return above $100,000. Saylor noted that the asset's drop below $60,000 marked the low point before recovering into the $80,000 range. Strategy supported this stance by purchasing an additional 250 Bitcoin for $21.5 million between Oct. 5 and Oct. 11, paying an average price of $86,194 per coin. To finance the purchase, the firm sold 125,183 common shares for about $21 million while also repurchasing $192.4 million of its STRC preferred shares.

The transaction brings Strategy's overall holdings to 848,250 Bitcoin, acquired for approximately $64 billion at an average cost of $75,444 per coin. Saylor reiterated a long-term projection that Bitcoin could compound between 20% and 30% annually over the next two decades. Because the company's equity valuation remains tied to the market value of its digital asset treasury, management's balance sheet decisions carry significant weight for investors.

Moving forward, market participants should track Bitcoin's spot price relative to Strategy's $75,444 average cost basis. Investors will also be watching ongoing equity issuances, preferred share buybacks, corporate debt obligations, and any premium or discount MSTR trades at relative to its underlying cryptocurrency holdings.