Strategy Erases Last Week’s Bitcoin Sale With 1,550 BTC Buy

Bitcoin treasury firm Strategy has already more than made up for last week’s 32 BTC sale as it has announced a new major acquisition.

Strategy Has Just Added To Both Bitcoin And USD Reserves

In a new post on X, Strategy co-founder and chairman Michael Saylor has shared details related to the latest Bitcoin acquisition completed by the treasury company. With this purchase, the firm has expanded its reserves by a total of 1,550 BTC.

The buy has come just a week after Strategy shocked the market with a sale of 32 BTC, ending a long accumulation streak since late 2020. While the scale of the sale was small, the fact that such a resolute buyer of the asset participated in selling was enough to affect sentiment in the sector, with BTC observing a major price drawdown.

The return to accumulation just one week later, however, has already completely reversed the effect that the sale had on Strategy’s holdings. Following this purchase, which cost about $101 million, the firm’s reserves have grown to 845,256 BTC, which is a new record.

In his usual Sunday X post, Saylor already foreshadowed a continuation of buying for Strategy, sharing the company’s BTC portfolio with the caption, “A good time to add more dots.”

Phong Le, the firm’s CEO, quote-reposted the post, noting, “Our corporate @Strategy is to increase net Bitcoin and Bitcoin per share over time. Rumors otherwise are just rumors.”

The latest Bitcoin purchase has also arrived with an addition to Strategy’s USD reserves. The firm established this reserve last year with the aim of creating a buffer that would allow timely dividend payments regardless of market conditions.

According to Saylor, the company has just added another $100 million to this reserve, taking its total value to $1 billion. Earlier, the reserve had a notably higher value than this, indicating that the firm has been relying on it to pay dividends amid the current market downturn.

The 8-K filing with the US Securities and Exchange Commission (SEC) suggests that Strategy fueled the new Bitcoin buy with sales of its MSTR at-the-market (ATM) stock offering. The USD reserve has been funded similarly, although the filing noted that the $100 million expansion amount includes cash proceeds that are yet to be settled.

In some other news, the US Bitcoin spot exchange-traded funds (ETFs) posted another week of net outflows last week, according to data from SoSoValue. A total of $1.72 billion left these funds with this red netflow spike.

The trend in the US BTC spot ETF netflow over the last couple of years | Source: SoSoValue

From the chart, it’s visible that this was the fourth consecutive week of negative netflows for the Bitcoin spot ETFs.

BTC Price

At the time of writing, Bitcoin is floating around $63,400, down nearly 12% in the last seven days.

The price of the coin seems to have been moving sideways over the last few days | Source: BTCUSDT on TradingView

Featured image from Dall-E, chart from TradingView.com

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