Strategy took a break from buying bitcoins for the first time in three months. What does that mean?

Strategy (formerly known as MicroStrategy), the largest corporate holder of bitcoins, has refrained from buying bitcoins for the first time since late March. In the company's case, this is bigger news than when it buys cryptocurrency, noted MarketWatch. At the same time, the company announced an agreement allowing it to issue and sell up to $4.2 billion worth of preferred stock, which will go toward bitcoin purchases, among other things.

Strategy did not make a single bitcoin purchase during the week of June 30-July 6: the company took a pause for the first time since late March, reports Barron's. It has 597,325 bitcoins left on its balance sheet, purchased at an average of $70,982 apiece, and their total value is about $42.4 billion, the publication adds.

The previous buying hiatus was recorded in early April - it came during the week of "Emancipation Day," when Donald Trump announced sweeping duties against key U.S. trading partners.

Why Strategy decided to pause its crypto coin purchases is unclear, but the company has historically avoided deals close to the end of the quarter, Barron's noted. Perhaps the company needs time to reassess its position, the publication suggested.

The company doesn't usually share details of its methodology, so a benchmark for those trying to anticipate the next buy was Chairman and co-founder Michael Saylor's profile on social network X, Bloomberg reported. "Some weeks you just have to HODL," wrote Saylor on Sunday, July 7, accompanying the post with a graphic showing the amount of bitcoins on Strategy's balance sheet. HODL (hold on for dear life) is an acronym popular in the crypto environment that means "hold on for dear life" and is a reminder of the need for long-term storage of digital assets, Barron's explained.

On Monday, Strategy also announced that it had signed an agreement to issue and sell up to $4.2 billion worth of preferred stock, with the proceeds to be used for "general corporate purposes," including future bitcoin purchases, the statement said. It is through the issuance of common and preferred stock, as well as bonds, that Michael Saylor has turned the once-stagnant enterprise software developer into a key tool in the market for bitcoin betting, emphasized Bloomberg.

Strategy acquired about $6.8 billion worth of bitcoins in the second quarter of 2025. Amid the cryptocurrency's appreciation and transition to a new accounting system, the company recorded an unrealized gain (existing only on paper before the actual sale of bitcoins) of $14.05 billion, according to a report filed Monday with the U.S. Securities and Exchange Commission (SEC). By comparison, the company reported an unrealized loss of nearly $6 billion on cryptocurrency assets in the first quarter.

Strategy will report its full second-quarter results in August. The company's results will allow it to enter the elite club with operating profits of over $10 billion - along with such giants as Amazon and JPMorgan, Bloomberg admits. At the same time, the core software development business will bring in only about $112.8 million in revenue, according to analysts surveyed by Bloomberg.

Since the beginning of 2025, the market value of Strategy has grown by 37%. By comparison, the main US stock index S&P 500 has added about 6% over the same period. Since the start of Saylor's bitcoin strategy in mid-2020, the company's shares have risen more than 3,300%, while bitcoin itself has added about 1,000% and the S&P 500 about 115% over the same period, Bloomberg wrote.

Only one analyst out of 17 advises investors to sell Strategy stock, according data from MarketWatch. The rest recommend buying (Buy and Overweight ratings). Wall Street's average target price is $527.2 per paper, which would suggest the company's stock price is up another third from its closing price on July 7.

This article was AI-translated and verified by a human editor