Strategy Sold Bitcoin at $60,000-$65,000 and Bought Back Around $80,000: Price Is Not the Reason

Strategy returned to buying Bitcoin at around $80,000 after selling in the $60,000-$65,000 range; CEO Phong Le stated that decisions are made based on the cost of capital rather than the price level.

Strategy explained the approach behind this move, demonstrating that it is not a one-dimensional company that simply buys and holds Bitcoin. Speaking in a Bloomberg TV interview reported by Wu Blockchain, CEO Phong Le stated that the company considers the cost of financing rather than the Bitcoin price when making buy and sell decisions.

The company sold approximately 7,000 BTC in the $60,000-$65,000 range and subsequently repurchased at the $80,000 level. Although returning to buying at a higher price may seem contradictory at first glance, Le said the sale was the right financial decision at that time. A portion of the proceeds from the sale was used to cover certain preferred dividend payments.

Strategy Can Also Buy Bitcoin at High Prices

Strategy’s balance sheet has also changed significantly over the last two months. The company cleared approximately $7 billion in net debt; during the same period, it built up approximately $7 billion in cash reserves. This transformation provided a stronger financial structure to fund new Bitcoin purchases.

Le said that as long as economic conditions remain favorable, Strategy could buy Bitcoin at the $90,000, $100,000, and even $130,000 levels.

The CEO emphasized that although Strategy is capable of selling, it remains a net Bitcoin accumulator in the big picture. He also noted that it could make sense for the company to fund Bitcoin purchases with new share sales when its stock is trading at a premium.