Strategy Bitcoin Buying May Restart After Two-Week Pause

Strategy’s bitcoin acquisition could resume after a two-week break, according to a new message from Michael Saylor. Indeed, the company’s executive chairman broadcast the group’s purchase chart with a reference to the orange color, however no transaction is yet confirmed.

Strategy’s Bitcoin purchase remains a mere signal

On September 20, Michael Saylor posted the chart showing the bitcoin acquisitions made by Strategy. His message was limited to four words: “a little more orange“, meaning “a bit more orange”. Each orange dot on the document represents a purchase made by the company.

Such a publication is similar to previous clues released by Saylor before an official communication. However, it does not prove that a transaction has already occurred. Only a new form filed with the SEC will confirm the number of bitcoins purchased, the amount spent, and the average price paid.

At this level, the available statistics currently summarize the company’s position :

• Strategy holds 845,050 BTC ;
• These bitcoins cost $63.73 billion ;
• Their average acquisition price reaches $75,412 ;
• The group made no purchases between September 8 and 13 ;
• Its next regulatory filing will confirm any possible operation.

At the price displayed on the chart published by Saylor, the reserve was worth nearly $67.90 billion. This estimate, however, changes in real time with the crypto’s price.

Strategy emerges from two weeks without new acquisition

The last confirmed acquisition dates back to the period between August 24 and 30. At that time, the firm purchased 4,603 BTC for nearly $369.7 million. The average price for that transaction was $80,318 per bitcoin.

This acquisition signaled Strategy’s return after several weeks of interruption. Michael Saylor had already paved the way with a message before the company communicated the operation’s details.

Then, the firm maintained an unchanged reserve during two consecutive reporting periods. In its September 14 report submitted to the Securities Exchange Commission, it confirmed having neither acquired nor sold bitcoins between September 8 and 13;

The current reserve, i.e., the 845,050 BTC held, now constitutes just over 4% of the maximum supply of 21 million bitcoins. This concentration makes Strategy the leading publicly traded company holding BTC, although it increases the sensitivity of its balance sheet to market fluctuations.

Strategy’s Bitcoin purchase could mobilize $1.3 billion

As of September 13, Strategy had $1.30 billion of flexible cash. The company can use these funds to acquire bitcoin, strengthen its dollar reserves, or intervene in various financial securities.

Thus, the group separately holds a reserve of $5.10 billion. This is mainly used to cover dividends on its preferred shares and interest due on its debt. It therefore does not immediately represent a fund dedicated to upcoming BTC purchases.

During the week ending September 13, Strategy chose to allocate $139.3 million to repurchasing 1,420,467 STRC preferred shares. This preference reveals that the accumulation of bitcoins is no longer the only immediate goal of its capital management.

The issuance of common shares, preferred securities, or debt could also finance a new transaction. These instruments offer Strategy significant acquisition capacities, but they expose shareholders to dilution, dividends, and financing costs.

An official document must still confirm the purchase

Michael Saylor’s Sunday announcements are currently an indicator closely followed by the market. Usually, the firm communicates transaction details early the following week, when the operations have already been executed.

The next report will show if the expression “a bit more orange” truly corresponds to an increase in reserves. It will also indicate the acquisition period, the number of BTC obtained, and the source of funding.

After the recent repurchase of STRC shares, a resumption of purchases could indicate that Strategy again deems conditions favorable for accumulation. In the absence of a SEC filing, Saylor’s message remains an invitation to speculation, and not an official financial announcement.