Bitcoin’s (BTC) sharp drop this week triggered renewed anxiety across the crypto market. However, Michael Saylor’s latest post indicates Strategy’s commitment to its massive BTC reserve remains firm.
Saylor Reaffirms Strategy’s BTC Commitment Amid Downturn
With BTC price down almost 9% in the last week, Saylor’s post saying, “I won’t back down” shows his company’s entire approach. His statement came as many wonder whether Strategy, the public company he chairs, could maintain its aggressive Bitcoin purchases.
This is because the crypto market is experiencing one of its harshest corrections in the current cycle. Also, Saylor did not directly address or give a hint that Strategy would make a BTC purchase tomorrow as he has previously done. However, Saylor reaffirmed the company’s Bitcoin conviction, suggesting commitment to continuous accumulation.
According to a ZeroHedge report, Bank of America’s chief investment strategist Michael Hartnett said the “Fed needs to cut.”
He added that Bitcoin will be first to be affected coming Fed capitulation. This further adds to the current macro pressure on BTC.
MSTR Drop Raises Fresh Questions About Strategy’s Stability
Strategy holds 649,870 Bitcoin at an average cost of $74,430, according to the company’s latest figures. Strategy’s Bitcoin portfolio is not in the red despite the recent market crash, showing a gain of roughly 16%.
However, the company’s stock has not matched that resilience. Based on TradingView data, MSTR has slid toward the $170 level. It has nearly erased its extra value it has over the company’s underlying Bitcoin reserves.
The stock drop placed renewed attention on Strategy’s valuation. Also, it raised concerns about whether the company still has enough cushion to withstand deeper market stress.
Meanwhile, Michael Saylor’s post follows his community poll, which showed that 77.8% of participants held their Bitcoin throughout the week. This happened even as the BTC price dropped towards the $80,000 zone this past week.
The result reflected continued confidence among retail holders despite the speed of the decline. It also aligned with Saylor’s long-term position that volatility does not alter the company’s mission.
Skeptics See Bitcoin as the “Weakest Link.”
The market’s fall from above $120,000 reignited criticism from Bitcoin skeptics. These critics, including Peter Schiff, said the latest crash that shows Bitcoin moving from strong holders to weak holders will lead to even larger selloffs.
He further argued that Bitcoin is behaving like the weakest link in the risk-asset chain because it carries the most risk during market stress.
Source: https://coingape.com/i-wont-back-down-michael-saylor-reinforces-strategys-bitcoin-mission/