Strategy Authorizes Sale of Up to $1.25 Billion in Bitcoin

MSTR drops 10% after opening sale of 1.25 billion in bitcoin

One stock that peine with a 6.2% pre-market drop, hitting $86.97, and throughout the session dipped to 83 with a 10% decline. This is the picture of Strategy Inc —formerly MicroStrategy, MSTR on the exchange— on the day its board approved the Digital Capital Credit Framework. The company, which made 'I will never sell my bitcoin' a matter of faith, has just authorized the sale of up to $1.25 billion in bitcoins to replenish a dollar reserve. The market was quick to read the fine print.

What Strategy's new capital framework changes

The text does two things. First: it allows the sale of up to 1.25 billion in BTC to rebuild a dollar liquidity cushion. Second: it activates buyback programs worth $1 billion, both in Class A common stock and Digital Credit preferred shares. For a company whose model consisted of issuing debt and equity to buy more bitcoin without ever selling, this shift is not cosmetic.

The holders' reaction was split. One part argues that selling part of the reserve, with such accumulated capital gains, is only justified in a scenario of acute liquidity shortage; otherwise, the alternative is far less pleasant: either squeezing the shareholder or Michael Saylor himself not believing his predictions of millions per coin.

Price targets: from $200 to $400

The bullish scenarios remain on the table. The most cited point to $240 first and then $280. Another, more aggressive scenario, conditions the jump on bitcoin breaking through resistances of $85,000 and $95,000 to establish itself again at $120,000, which would bring Strategy to $400 per share. On the opposite side, the dominant technical reading insists there has been no surrender: with bitcoin hitting highs at the end of 2025 and worse a year later, the distribution continues its course, and MSTR's floor could be around $50 before September or October.

An uncomfortable detail for those averaging down: lowering the average price to $90 leaves a very tight margin. The 1% dilution recorded in a single week does not help sustain the narrative.

The 4% of bitcoin that can move the market

The underlying question is how much Saylor weighs. One estimation defended in the analysis suggests he controls 'only' 4% of the total bitcoin: if he sells someday, it will influence, but it is not clear that it is enough to crash the market. Others see exactly the opposite: a round-alucinación business that generates buying pressure today and selling pressure tomorrow equally mechanical. And behind it, according to this reading, traditional banking —JPMorgan, Goldman Sachs— with the business lined up.