MicroStrategy invests an additional $75.3 million to purchase 855 more Bitcoin! Holding 713,000 BTC nearing a loss, can Strategy continue to buy?

MicroStrategy’s latest announcement shows that the company increased its Bitcoin holdings again last week, while continuing to raise funds through the ATM program; however, as Bitcoin prices temporarily fell below its average cost basis, market attention has shifted to MicroStrategy’s subsequent funding pressures and strategic direction.
(Background recap: UBS doubled down on purchasing 3.23 million MicroStrategy Strategy shares, with a total holding value of $800 million! Despite market pullbacks, still optimistic about Bitcoin.)
(Additional context: Bitcoin temporarily fell below MicroStrategy’s “76,000 USD cost line,” with Strategy stock price losing 60% over six months, increasing financing pressure.)

Table of Contents

• ATM Program Update: Common stock becomes the primary recent source of financing
• Preferred stock dividend rate increase and cash dividend declaration to stabilize investor confidence
• Bitcoin falling below the cost basis, MicroStrategy’s subsequent strategy under scrutiny

The U.S.-listed company MicroStrategy (now named Strategy Inc.) continues to strengthen its “Bitcoin core asset” strategy. According to the company’s latest announcement on February 2, MicroStrategy purchased an additional 855 Bitcoins from January 26 to February 1, 2026, with a total investment of approximately $75.3 million, at an average purchase price of $87,974.

As of February 1, 2026, MicroStrategy’s total Bitcoin holdings reached 713,502 coins, with a cumulative purchase cost of about $54.26 billion, and an overall average cost basis of approximately $76,052 per BTC. The company also reaffirmed that the funds used for this Bitcoin purchase mainly came from proceeds raised through its at-the-market (ATM) stock issuance plan.

ATM Program Update: Common stock becomes the primary recent source of financing

Regarding financing progress, MicroStrategy also updated on its ATM (At-The-Market) issuance plan. The announcement shows that during the above period, the company only sold Class A common stock (MSTR), totaling 673,527 shares, raising approximately $106.1 million net (after sales commissions).

As for multiple preferred stock products, including the perpetual preferred stocks STRF, STRC, STRK, STRD, etc., no actual sales occurred during this period. However, as of February 1, these securities still retain a significant available issuance capacity under the ATM plan, indicating the company maintains potential financing flexibility.

Preferred stock dividend rate increase and cash dividend declaration to stabilize investor confidence

In addition to financing and Bitcoin holdings, MicroStrategy announced important adjustments related to dividends. Starting February 2026, the company will increase the annualized dividend rate of its variable-rate Series A perpetual Stretch preferred stock (STRC) from 11.00% to 11.25%.

At the same time, the board officially declared that on February 28, 2026, it will pay a cash dividend of $0.9375 per share on STRC. The company expects that, under U.S. federal income tax rules, this dividend will be treated as a return of capital, reducing shareholders’ investment basis rather than being taxed immediately.

Bitcoin falling below the cost basis, MicroStrategy’s subsequent strategy under scrutiny

It is noteworthy that although MicroStrategy continued to add to its Bitcoin holdings last week, on February 2, Bitcoin’s price temporarily fell below MicroStrategy’s overall average cost basis, sparking noticeable market concern and discussion.

Some investors are beginning to worry whether, amid ongoing downward pressure on Bitcoin prices, MicroStrategy can still successfully raise enough funds through the ATM plan to continue executing its accumulation strategy; there are also voices concerned that if financing conditions worsen or stock performance declines, it could increase financial and cash flow pressures on the company.

In the most extreme scenario, the market even discusses whether MicroStrategy might be forced to sell some of its Bitcoin holdings in the future to meet debt or funding needs. In the short term, whether MicroStrategy can maintain its high leverage and long-term bullish stance on Bitcoin will heavily depend on Bitcoin price movements, market acceptance of its stock and preferred shares, and overall financing environment changes.