Strategy Denies Bitcoin Sale Rumors, Continues Aggressive Accumulation
Overview
Strategy has firmly denied rumors of a Bitcoin sell-off, reaffirming its commitment to accumulating more BTC. The speculation arose after blockchain trackers reported movements of 58,000 BTC from Strategy-associated wallets.
Key Details
Origin of the Rumors
The market was set abuzz when blockchain analysts noted large BTC transfers from Strategy wallets, sparking fears of a significant sell-off. This caused Bitcoin prices to dip below the $100,000 mark.
Official Response
Contrary to the speculation, Strategy clarified that these were routine transfers between custody providers like Fidelity and Coinbase, aimed at improving operational efficiency. CEO Michael Saylor stated, "We are not selling. We are accelerating purchases."
Market Impact
The false rumors led to a temporary market decline, pushing Strategy's stock down by 6% to $195. Despite this, their holdings remain steady at 438,000 BTC, valued at $42.2 billion.
Ongoing Accumulation
In recent weeks, Strategy has continued its BTC acquisition, purchasing 487 BTC for $49.9 million and 397 BTC for $45.6 million. The company's purchases are funded through convertible debt and equity raises.
Context and Analysis
This incident follows a familiar pattern of market panic driven by misinterpretations of large-scale wallet movements. Similar confusion occurred with BlackRock's ETF recently. Analysts note that Bitcoin would need to drop significantly before Strategy faces any liquidation risks.