A hawkish Federal Reserve is strengthening the US dollar, bitcoin ETFs have seen sustained outflows, and Strategy, the largest publicly traded bitcoin holder, is facing mounting pressure.
The strategy’s preferred stock, STRC, has fallen to record lows well below its $100 par value, complicating the firm’s aggressive bitcoin accumulation strategy.
Arca CIO Jeff Dorman highlighted the precarious situation: “Either sell a huge amount of BTC and MSTR to help bring $STRC back up close to par and at least buy yourself some time, or continue to watch every part of your cap structure melt away due to the uncertainty you’ve created,” he said on X.
At the time of writing, BTC was changing hands near $62,400, down 0.8% since midnight UTC hours, according to CoinDesk data. Prices reached highs near $67,000 earlier this week.
