Michael Saylor has repeated for years that he would never sell bitcoin. But the pressure of dividends, debt, and plummeting stock prices is changing reality. Strategy today must address not only bitcoin’s price, but also investor confidence, as they watch whether the legendary “hodl” is becoming forced survival management.
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Strategy abandons the “never sell” dogma
Not long ago, Saylor publicly claimed that bitcoin had a solid floor around $60,000. However, the market quickly reminded him that not even the strongest narrative is immune to liquidity. Bitcoin plunged to $58,000 and Strategy simultaneously had to deal with a maturing debt of $1.5 billion. The company, which had long built its identity on unwavering BTC holding, thus faces a situation for the first time where faith alone is not enough.
Pressure is further increased by STRC preferred shares with an 11.5% yield. Annual dividend obligations have climbed to approximately $1.2 billion since the beginning of the year, forcing the company to change its approach. CEO Phong Le has already admitted that bitcoin can be sold under certain conditions, and Strategy subsequently executed its first strategic sale of BTC. For critics like Peter Schiff, this is capitulation. For the company, it’s a controlled step designed to protect the capital structure.
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Wall Street no longer believes the risk-free story
A more sober view is also coming from analysts. Citigroup lowered its annual bitcoin price outlook to $81,800 and slashed Strategy’s stock price target from $260 to $130. Other banks are similarly more cautious, revising their estimates for both bitcoin and MSTR stock itself. Nevertheless, most analysts still maintain a buy recommendation because the problem, according to them, lies not in the operating business, but mainly in the overvaluation of the bitcoin story.
But the market is unforgiving. Strategy’s stock has lost more than 77% over the past year and briefly dropped to a two-year low this year. The main question is therefore no longer just where bitcoin will go or what the stock will be worth in a year. It’s something deeper: whether a company that built its identity on the promise of never selling can break that promise without losing investor confidence.
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