Strategy Acquires 4,020 Bitcoin at $106,237 Each as Price Surges 4%

Strategy, a prominent investment firm, recently acquired 4,020 Bitcoin for approximately $427 million. This significant purchase occurred as the price of Bitcoin surged past $110,000 for the first time in history. The acquisition underscores the growing confidence in Bitcoin as a valuable asset, particularly as its price continues to reach new heights. The firm's move to secure such a large amount of Bitcoin at a record price highlights the potential for further growth in the cryptocurrency market. This development is likely to influence other investors and institutions, potentially leading to increased demand and further price appreciation for Bitcoin.

The latest purchases were made at an average price of $106,237 per coin, with Bitcoin smashing past $110,000 on May 22. The acquisition marks the fourth Bitcoin purchase by Strategy in May, bringing Strategy’s total BTC holdings to 580,250 BTC, acquired for approximately $40.61 billion at an average price of $69,979 per coin. This substantial investment reflects the firm's long-term strategy of accumulating Bitcoin, regardless of its price fluctuations. The firm's director, Jarrod Patten, sold 2,650 MSTR shares in the period between May 16 and 21, worth nearly $1.1 million. Since April 22, Patten has sold a total of 17,050 Class A shares worth $6.7 million. Additionally, Strategy’s chief financial officer, Andrew Kang, sold 2,185 Class A shares on May 23, netting $719,447. These sales indicate a strategic move by the firm to manage its liquidity and potentially reinvest in Bitcoin.

Strategy’s new purchase reflects Saylor’s philosophy of acquiring Bitcoin no matter how high the prices are, as he previously vowed to keep buying Bitcoin at the top forever in late 2024. In the meantime, Strategy’s shares have been tumbling from their all-time highs recently, losing at least 12% in the past week, with prices falling from around $420 to $369. The recent drop in Strategy shares came after the company was hit with a class-action lawsuit alleging that the company had misrepresented Bitcoin investments. Filed on May 19, the suit seeks to recover losses of shareholders who were adversely affected by alleged securities fraud in April 2025. This legal challenge could impact the firm's reputation and investor confidence, but it also underscores the high stakes and potential risks associated with investing in Bitcoin.