Phong Le, President and CEO of Strategy, stated that despite the company selling over $215 million worth of BTC recently, it still plans to remain a major long-term buyer of Bitcoin and “will not exit”. He said debt-related risks will only need to be addressed if BTC falls to the range of $8,000 to $10,000, and the balance sheet remains sound at present. Strategy raised approximately $467 million via common stock offerings last week, lifting its cash reserves to around $3 billion.

JPMorgan analysts said while Bitcoin spot ETF flows have been highly volatile lately, Strategy’s leveraged ETFs have posted steady net inflows for seven consecutive weeks, driven mainly by retail investors. This may underpin its share price and prevent common stock from trading below the net asset value of its Bitcoin holdings. Meanwhile, Strategy boosted its dollar reserves from $2.55 billion to $3 billion, enough to cover roughly 20 months of preferred stock dividends, easing market worries that the firm would sell BTC to cover dividend payments. Analysts also noted that CME Bitcoin futures and perpetual contracts recorded positive inflows this week amid outflows from spot ETFs, signaling improved institutional demand. While it remains unclear whether Strategy’s cash buildup has directly lifted Bitcoin investor sentiment, all the above factors are viewed as positive indicators for Bitcoin’s outlook.