Bitcoin Price Rally Puts Strategy’s $66B BTC Bet Back in Profit Above $75,385 Cost Basis
Key Takeaways
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Strategy's 840,447 BTC position returned to profit after Bitcoin surpassed its $75,385 average purchase price.
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Bitcoin's surge above $81,000 transformed an estimated $9.5 billion paper loss into a roughly $4.7 billion unrealized gain within one week.
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Every $1,000 change in Bitcoin's price shifts the value of Strategy's holdings by approximately $840 million.
Bitcoin's rapid recovery has pushed Strategy's cryptocurrency holdings back into profit, reversing billions of dollars in unrealized losses in less than a week.
The company, formerly known as MicroStrategy, holds approximately 840,447 BTC acquired at an average price of $75,385 per coin.
Its aggregate purchase cost stands at roughly $63.36 billion, while the position's market value climbed above $66 billion as Bitcoin broke through Strategy's cost basis and briefly traded above $81,000.
At the rally's peak, Strategy's paper profit reached approximately $4.7 billion. Only a week earlier, when Bitcoin traded near the low-$60,000 range, the company faced an unrealized loss estimated at $9.5 billion.
The extraordinary turnaround illustrates both the scale of Strategy's Bitcoin exposure and the volatility that comes with it.
Strategy Swings From $9.5B Loss to $4.7B Profit
Bitcoin's rebound from around $60,000 to above $81,000 produced a valuation swing of roughly $14 billion for Strategy's holdings.
Because the company owns more than 840,000 BTC, every $1,000 change in Bitcoin's price alters the position's value by approximately $840 million.
That sensitivity makes Strategy one of the most visible proxies for institutional Bitcoin exposure.
Crossing the $75,385 average purchase price marked a critical threshold. Above that level, the company's overall position returns to an unrealized profit; below it, the holdings move back into the red.
Bitcoin's advance to around $81,000 valued Strategy's holdings at approximately $68.1 billion, compared with their $63.36 billion acquisition cost.
However, any retreat toward the company's cost basis could quickly erase those gains.
Strategy Builds Cash as Bitcoin Rallies
Strategy did not announce a new Bitcoin purchase during the latest rally. Instead, it strengthened its cash reserves after selling 18.26 million MSTR shares for approximately $2.01 billion.
The company reportedly set aside $1.59 billion in a separate cash reserve to support future Bitcoin purchases. Its primary US dollar reserve also increased to around $5.1 billion.
Strategy additionally repurchased approximately $136 million of its STRC preferred stock.
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