New York, February 3, 2026, 11:27 (EST) — Regular session
- Strategy shares dipped as Bitcoin slid in U.S. morning trading
- A recent SEC filing revealed a fresh Bitcoin purchase financed through at-the-market share sales
- Investors are eyeing Thursday’s results for insights into funding and exposure
Shares of Strategy Inc dropped roughly 2.5% Tuesday, tracking Bitcoin’s slip of about 3% to near $76,700. By 11:27 a.m. in New York, the stock had fallen $3.53 to $136.10.
This move is notable because the company’s balance sheet essentially functions as a Bitcoin play in public markets. In a filing with the U.S. Securities and Exchange Commission on Monday, Strategy revealed holdings of 713,502 bitcoins as of Feb. 1, bought at an average price of $76,052 each. It added 855 bitcoins last week, spending $75.3 million. The purchases were financed by selling 673,527 shares via an at-the-market offering, which brought in about $106 million, according to the filing. (Securities and Exchange Commission)
Bitcoin’s break-even zone has become a clear marker for traders. Executive chairman Michael Saylor posted on X that the company “has acquired 855 BTC for ~$75.3 million,” highlighting just how tightly the stock’s moves now track the cryptocurrency’s daily fluctuations. (X (formerly Twitter))
Strategy plans to release its fourth-quarter results after the U.S. market closes on Feb. 5. The company will also hold a live video webinar at 5 p.m. Eastern to go over the details. (Strategy)
The company has moved to clarify how it handles preferred-stock payouts. Strategy reported that 100% of the 2025 distributions on its perpetual preferred “Digital Credit” instruments are classified as a non-taxable return of capital for U.S. federal tax purposes—meaning investors generally reduce their cost basis instead of paying tax as dividend income. In 2025, it raised $5.5 billion from five IPOs of these securities, added another $1.9 billion through at-the-market programs, and has paid out $413 million in total distributions. (Strategy)
On Tuesday, shares of Coinbase Global dropped 3.4%, while other crypto-related stocks showed mixed results.
Several strategists warn of further bitcoin losses if it fails to find a foothold soon. John Blank at Zacks Investment Research cautioned the price might dip “as low as $40,000.” Fundstrat Global Advisors’ Tom Lee pointed to gains in precious metals as “a vortex sucking all risk appetite” out of crypto. (Investopedia)
Equity holders know the drill: the strategy often acts like a leveraged Bitcoin proxy, but it relies on continually attracting new investors. That dynamic can amplify both gains and losses.
The downside is clear. Should Bitcoin’s decline persist, investors will zero in on dilution from additional stock offerings and the burden of preferred dividend payments, particularly if appetite for risk continues to fade across crypto markets.
Traders are eyeing if Bitcoin can stay above the mid-$70,000 level. All eyes also turn to Strategy’s Feb. 5 earnings, which will shed light on its financing pace and Bitcoin approach.
