Strategy Shares Face Pressure Following Latest Bitcoin Acquisition

The company known as Strategy, formerly MicroStrategy, has once again doubled down on its core investment thesis by purchasing nearly $1 billion worth of Bitcoin. This move pushes its corporate holdings to a fresh record, yet the market's reaction to its aggressive expansion has been decidedly negative. Investor concerns are centered on the method of financing, sparking fears of shareholder dilution and sending the stock price lower.

Between December 8 and 14, 2025, Strategy added 10,645 Bitcoins to its treasury at an average price of approximately $92,098 per coin. This acquisition, valued at around $980 million, brings the firm's total Bitcoin holdings to 671,268 units. However, the capital for this substantial purchase did not come from operational profits. Instead, the company tapped equity markets through an "at-the-market" offering, raising $989 million by issuing new shares.

This financing mechanism is identified by market observers as the primary driver behind the recent share price weakness. The issuance of new equity dilutes the ownership stake of existing shareholders, a negative effect that many investors are currently weighing more heavily than the company's long-term bet on rising cryptocurrency prices. Consequently, the stock has declined by nearly 10% over the past week.

Should investors sell immediately? Or is it worth buying Strategy?

A Dual-Edged Business Model and Institutional Support

The current volatility is, in many ways, inherent to Strategy's operational blueprint. CEO Phong Le has previously emphasized that the stock is structurally designed to amplify Bitcoin's price movements—both upward and downward. With the crypto market itself undergoing a correction recently, this leverage effect has worked against the share price. The equity now trades at around €142, a level significantly below its 52-week high.

Despite the present pressure, certain institutional factors provide a degree of stability. In mid-December, Strategy confirmed its continued inclusion in the prestigious Nasdaq 100 index. This status is crucial as it ensures ongoing demand from passive index funds and ETFs. Furthermore, the rating agency S&P Global affirmed the company's creditworthiness at 'B-' with a stable outlook, noting that Strategy has established dollar reserves for upcoming interest payments.

The near-term sentiment, however, remains tense. The market is closely watching to see if investors will tolerate further potential dilution as the company continues to expand its Bitcoin reserves. While management remains steadfast in its strategy, the persistent downward pressure on the stock price reflects prevailing market skepticism about this approach.