Michael Saylor's Strategy sells another 1,638 BTC for $105 million, reducing total holdings to 842,138 BTC

Bitcoin treasury company Strategy (MSTR) sold 1,638 BTC for approximately $104.7 million last week, according to an 8-K filing with the Securities and Exchange Commission on Monday.

The firm said it sold the assets between July 27 and Aug. 2 at an average price of $63,957 per bitcoin.

Strategy has therefore reduced its total holdings to 843,138 BTC — worth approximately $52.6 billion — bought at an average price of $75,419 per bitcoin for a total cost of around $63.5 billion, including fees and expenses, according to the company's co-founder and executive chairman, Michael Saylor.

Proceeds from the sales were used to fund payment of distributions on preferred stock and to fund repurchases of STRC.

Strategy also sold 3,011,361 MSTR shares for approximately $290.6 million during the period. As of Aug. 2, $22.7 billion worth of MSTR shares remain available for issuance and sale under that program, the firm said. The proceeds were used to increase Strategy's USD Reserve by $250 million to $4 billion and repurchase $28.9 million of STRC stock. The remaining $11.7 million in MSTR proceeds were added to Strategy's cash balance. 

Strategy's BTC holdings are still equivalent to around 4% of bitcoin's 21 million supply cap, but carry roughly $10.9 billion of paper losses at current prices.

Bitcoin fell slightly to around $62,400 immediately following the filing, per The Block's BTC price page. MSTR shares are currently down 1.7% in pre-market trading.

Earlier on Monday, onchain analysts Lookonchain flagged a wallet linked to Strategy moved 299.8 BTC, worth around $18.9 million, on Sunday, mirroring a pattern ahead of its last bitcoin sale announcement for the first week of July.

'Bitcoin Drive engaged'

Strategy co-founder and Executive Chairman Michael Saylor posted another Strategy bitcoin tracker chart to X on Sunday with the caption "Bitcoin Drive engaged." Saylor's regular Sunday posts have typically been used to telegraph an acquisition announcement in advance. However, they have become more cryptic in recent weeks as the firm's strategy has shifted.

Under its new Digital Credit Capital Framework, Strategy restricted its USD reserve to preferred stock dividends and interest payments, and authorized a $1 billion repurchase program for its digital credit securities, initially prioritizing STRC. It also adopted a flexible monthly STRC dividend policy, noting the dividend will not automatically increase if STRC trades below its $100 par value. The firm maintained STRC's variable annualized dividend rate at 12% on Friday.

Strategy also approved a $1 billion common stock buyback and later expanded its BTC Monetization Program to allow up to $5 billion in bitcoin sales to fund its reserve, dividends, interest payments, and securities repurchases under the framework.

The firm previously extended its bitcoin acquisition pause to five weeks ending July 26, holding steady at 843,775 BTC, while lifting its USD reserve by $525 million to $3.75 billion.

Strategy posts $8.2 billion loss as bitcoin holdings increase 11% during Q2

On Thursday, Strategy reported a loss of $8.2 billion for the second quarter, a substantial swing from the $10 billion in net income it posted during the same period a year ago.

Strategy's loss was driven almost entirely by unrealized, paper losses on its bitcoin holdings. The firm grew its BTC holdings by 11% during the quarter, climbing to a peak of 846,000 BTC, before it began selling off some of its assets. The price of bitcoin was more than 40% lower at the end of this year's second quarter compared to Q2 2025.

Strategy's stock fell 0.1% overall last week, closing on Friday at $93.28, according to The Block's MSTR price page, down around 80% from its 2025 peak. Bitcoin dropped 4.1% during the same period last week.

Last week, analysts at both TD Cowen and Benchmark maintained Buy ratings on Strategy after its Q2 call, with each telling clients that returning the STRC preferred stock to par is now management's main goal.

However, the two firms were split on price. Benchmark decreased its MSTR price target to $435 from $570, citing a sum-of-the-parts analysis and a reset of its year-end 2026 bitcoin assumption to $100,000 from $125,000. TD Cowen retained a $260 target from late June, itself a cut from $400 earlier that quarter.