Strategy Stock Plunges as Saylor Doubles Down on Bitcoin

Strategy ( (MSTR) ) has fallen by -11.15%. Read on to learn why.

Strategy shares fell 11.15% over the past week as the latest bout of crypto volatility rippled through anything tied to Bitcoin. Despite the pullback, the stock is still being used as a high‑beta proxy for the cryptocurrency, with Executive Chairman Michael Saylor pushing a “buy at any price” approach. The company added another 1,142 Bitcoin for about $90 million at an average of $78,815 per coin, even as the market briefly plunged toward $60,000, nudging Strategy’s overall cost basis higher and reinforcing its role as a leveraged bet on Bitcoin’s long‑term direction.

Behind the scenes, Strategy is aggressively financing this expansion. It continues to tap Wall Street by selling common stock through its at‑the‑market program and issuing new AI‑designed preferred shares such as STRK and STRF, which pay double‑digit dividends. This structure allows the company to raise billions from yield‑seeking investors without leaning as heavily on traditional debt or diluting existing shareholders during sharp price swings. Management insists the balance sheet can withstand even a 90% Bitcoin drawdown, pointing to more than two years of cash to cover dividends and a large buffer of preferred capital as a volatility shock absorber.

The sharp weekly drop in the share price reflects rising investor tension between fear of over‑leverage and belief in Bitcoin’s long‑term upside. Short interest has climbed and the stock has been extremely volatile, yet Wall Street remains broadly optimistic: analysts maintain a Strong Buy consensus and see large upside over the next 12 months, helped by Strategy’s tendency to trade at a premium to the underlying value of its Bitcoin holdings. For investors, Strategy now sits at the crossroads of conviction and risk—a stock that can fall hard in a bad week for crypto, but which bulls view as a pure, turbocharged play on a future Bitcoin recovery.