MicroStrategy stock fell below $100 for the first time since March 2024, closing at $99.50 on June 24 as Bitcoin weakened toward $61,000 and mounting funding pressures weighed on the company’s aggressive Bitcoin acquisition strategy.
The decline marked a significant reversal for one of Wall Street’s most popular leveraged Bitcoin proxies. Strategy shares fell 5% in early Wednesday trading, extending losses to 34% year-to-date and roughly 74% over the past 12 months, according to Crypto Briefing.
Bitcoin’s retreat from its October 2025 peak above $126,000 triggered the initial selloff, but the move below $100 reflects deeper structural concerns about the company’s capital-raising model. Strategy owns 847,363 Bitcoin, making it the world’s largest corporate holder of the asset, but that massive position now carries more than $12 billion in unrealized losses as the cryptocurrency remains under pressure, according to Crypto Briefing.
The company’s preferred stock vehicle, STRC, has become the primary constraint. This perpetual preferred security was designed to trade near its $100 par value and fund Bitcoin purchases through above-par share sales. When STRC fell below par—reaching as low as $89 in recent trading—it triggered multiple consequences: the effective dividend yield climbed sharply, increasing Strategy’s financing costs, and the company paused its at-the-market offering program entirely, according to CoinDesk.
A symbolic turning point came when Strategy disclosed the sale of 32 Bitcoin for $2.5 million in early June to cover preferred stock distributions. The amount was tiny relative to the company’s 847,363-coin holdings, but the sale violated a near-sacred “never sell Bitcoin” philosophy that had defined the company’s public messaging for years. That breach of narrative sparked fresh investor anxiety about liquidity needs, according to BeInCrypto.
The stock’s underperformance relative to Bitcoin itself reflects the leverage embedded in the MSTR structure. As Bitcoin falls, Strategy’s holdings lose value directly; simultaneously, investor confidence in the funding model declines, premiums to net asset value compress, and financing concerns become visible. That combination creates a feedback loop where MSTR often moves far more aggressively than the underlying asset. When Bitcoin trades sideways or rises, MSTR can surge; when Bitcoin falls, MSTR can crater—amplifying both gains and losses.
CryptoQuant CEO Ki Young Ju argued in a public statement that Strategy’s aggressive accumulation strategy has become a liquidity sink rather than a price catalyst, with elevated selling pressure offsetting new demand. Ju recommended that Strategy temporarily halt purchases, improve its balance sheet, implement a model-driven buying approach, and establish a framework for taking profits near future market peaks, according to Crypto Briefing.
Sources
- Crypto Briefing — reported MSTR fell 5% to $98, slipping below $100 for the first time since March 2024; Strategy holds 847,363 BTC with $12+ billion in unrealized losses; CryptoQuant CEO Ki Young Ju’s commentary on Strategy’s accumulation strategy
- BeInCrypto — detailed MSTR’s fall below $100, Bitcoin’s decline to $61,000, STRC’s drop below par value, and Strategy’s first Bitcoin sale in years to fund preferred distributions
- CoinDesk — reported STRC preferred stock hit record low below par, pausing above-par share sales; Strategy acquired 520 Bitcoin for $34.9 million as of June 22
- Yahoo Finance — confirmed MicroStrategy stock drops below $100 for first time since March 2024 amid Bitcoin weakness
- StatMuse — provided March 2024 closing price of $170.46 for MSTR
