New York, Feb 7, 2026, 08:53 EST — The market has closed.
- Strategy shares jumped 26.1% Friday, clawing back ground after plunging 17.1% the previous session.
- The company reported a quarterly loss of $12.4 billion, driven by fair-value fluctuations in its bitcoin holdings.
- Bitcoin stuck close to $69,000 on Saturday, with investors watching to see if the bounce would last through Monday.
Strategy Inc (MSTR) surged 26.1% Friday, ending the day at $134.93. That comes right after Thursday’s 17.1% slide, when the stock finished at $106.99. StockAnalysis
This shift is significant: the former MicroStrategy effectively acts as a bitcoin proxy on the market. If crypto prices swing, the shares usually swing even more.
Bitcoin hovered near $68,933 on Saturday, up roughly 2.4% from the previous close. Traders were left debating if the move marked a genuine rebound or merely a pause in the action.
Strategy reported a fourth-quarter net loss of $12.4 billion, or $42.93 per diluted share, hit by an unrealized $17.4 billion loss on its digital assets under fair value accounting—which runs those market swings straight through earnings. The firm held 713,502 bitcoins as of Feb. 1, carrying a combined cost of $54.26 billion, or $76,052 per coin. It also said it established a $2.25 billion “USD Reserve” aimed at covering preferred dividends and interest payments. Strategy
The company pulled back its 2025 earnings forecast back in December, with a Reuters report noting the earlier projection was based on bitcoin climbing to $150,000 by year-end. On the earnings call, executive chairman Michael Saylor doubled down on the long-term thesis, telling investors, “The actions by big finance … are the fundamentals.” When the topic turned to Kevin Warsh’s potential nomination as the next Fed chair, Saylor brushed it off: “It’s above our pay grade.” Deutsche Bank analysts pointed to roughly $2 billion leaving U.S. spot bitcoin ETFs in December, following $7 billion of outflows in November. Reuters
Strategy’s got enough cash to handle a serious Bitcoin slump, TD Cowen’s Lance Vitanza told Barron’s, sticking with a Buy rating and a $440 target. Barron’s
Other “digital asset treasury” companies—publicly traded groups holding crypto on their books for investor access—are feeling the fallout too. “It’s clear the crypto market is now in full capitulation mode,” said Nic Puckrin, investment analyst and Coin Bureau co-founder, in a statement to Reuters. Reuters
Bitcoin clawed its way back above $70,000 on Friday after tumbling to a 16-month low just shy of $60,000, according to Reuters, but options traders aren’t relaxing yet. “Demand for downside protection is extreme,” said Sean Dawson, head of research at Derive.xyz, highlighting the rush for puts clustered between $60,000 and $50,000 expiring late February. Reuters
But Strategy’s stock swing tells the story: another bitcoin slide would immediately hammer fair-value numbers again, putting pressure on the willingness of investors to back a crypto-heavy balance sheet.
Markets are back in action Monday. The focus? If bitcoin can keep its rebound intact, and if ETF flows stay steady enough to keep Strategy’s stock from another wild gap at the open.
