How close is Bitcoin to Strategy’s average purchase price?

Bitcoin near $80,000 is about 6% above Strategy’s average cost of $75,446 per coin.

How much Bitcoin does Strategy hold?

Strategy held 848,517 BTC, worth about $68 billion when Bitcoin was near $80,000.

What could happen to Strategy’s tax asset if Bitcoin falls?

CoinDesk’s estimate says the $4.12 billion tax asset starts coming back below $75,446 per bitcoin and would be fully restored near $58,500.

What is the estimated average purchase price for U.S. spot Bitcoin ETF investors?

Glassnode estimates that U.S. spot Bitcoin ETF investors paid about $81,500 on average, above Bitcoin’s price near $80,000.

Did Strategy buy Bitcoin in the week through Oct. 25?

No. Strategy made no Bitcoin purchases that week and instead bought back its STRC preferred shares.

🩸BEARISH 1h ago

CoinDesk

Bitcoin Trades Just 6% Above Strategy’s Average Cost

A decline below $75,446 would erase Strategy’s paper gain and begin restoring a $4.12B tax asset written off in June.

Zipp Editorial Aggregated from CoinDesk

Bitcoin Trades Just 6% Above Strategy’s Average Cost

Bitcoin is trading near $80,000, only about 6% above Strategy’s average purchase price of $75,446, ahead of the company’s third-quarter results after Thursday’s U.S. close. The company held 848,517 BTC, worth about $68 billion, against roughly $64 billion spent, leaving an estimated $4 billion paper gain.

Why it matters

Bitcoin’s drop since Strategy valued its holdings at about $83,500 each at September’s end implies roughly $3 billion in paper losses for the current quarter so far. The quarter still has two months to run. A price below the $75,446 average cost would put the holdings below their purchase price.

Market impact

Strategy also faces a tax-accounting factor: it reversed a $4.12 billion tax-asset write-off in the third quarter, adding about $4 billion to profit. CoinDesk’s estimate puts the start of a reversal below $75,446 per bitcoin, with the full amount restored near $58,500.

U.S. spot Bitcoin ETF investors are also underwater, with Glassnode estimating an average purchase price of about $81,500. Strategy made no Bitcoin purchases in the week through Oct. 25, instead using funds to buy back STRC preferred shares.

$BTC #Strategy #BitcoinTreasury #SpotETF

Frequently asked questions

How close is Bitcoin to Strategy’s average purchase price?

Bitcoin near $80,000 is about 6% above Strategy’s average cost of $75,446 per coin.
How much Bitcoin does Strategy hold?

Strategy held 848,517 BTC, worth about $68 billion when Bitcoin was near $80,000.
What could happen to Strategy’s tax asset if Bitcoin falls?

CoinDesk’s estimate says the $4.12 billion tax asset starts coming back below $75,446 per bitcoin and would be fully restored near $58,500.
What is the estimated average purchase price for U.S. spot Bitcoin ETF investors?

Glassnode estimates that U.S. spot Bitcoin ETF investors paid about $81,500 on average, above Bitcoin’s price near $80,000.
Did Strategy buy Bitcoin in the week through Oct. 25?

No. Strategy made no Bitcoin purchases that week and instead bought back its STRC preferred shares.

Source attribution

Aggregated from CoinDesk · Verified · Last refreshed 1h ago

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