TheBlock
Standard Chartered is holding its end-2026 Bitcoin forecast of $100,000, framing Strategy's recent preferred-stock slide as a communication problem rather than a solvency one. Head of crypto research Geoffrey Kendrick told clients the market is misreading Strategy's shift from a strict "never sell Bitcoin" posture to using BTC as collateral for its preferred.
Why it matters
The trigger was a June 1 disclosure that Strategy sold 32 BTC, enough to break the narrative the equity has been priced on. STRC, the preferred tranche carrying roughly $10 billion in notional outstanding, dropped to an intraday low of $71.25 on June 26 against a $100 par value. Standard Chartered's read is that the gap between price and par is a sentiment shock, not a credit signal.
Market impact
If Kendrick is right, the dislocation is a buying opportunity for investors who treat STRC as a leveraged Bitcoin proxy. If the preferred keeps drifting, it forces Strategy to either top up collateral or buy back stock, both of which put incremental BTC demand on the market. Either way, the bank is betting that Bitcoin's institutional plumbing absorbs the noise without breaking the $100K trajectory.
Frequently asked questions
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Why is Standard Chartered keeping its $100,000 Bitcoin forecast?
Head of crypto research Geoffrey Kendrick told clients the end-2026 call stays intact because Strategy's preferred-stock slide is a communication problem, not a solvency one, and Bitcoin's institutional plumbing can absorb the noise.
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What caused Strategy's STRC preferred stock to drop?
A June 1 disclosure that Strategy sold 32 BTC broke the strict "never sell Bitcoin" narrative STRC had been priced on, sending the preferred to an intraday low of $71.25 on June 26 against a $100 par value.
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How much STRC preferred is outstanding?
STRC carries roughly $10 billion in notional outstanding, according to Standard Chartered's research note.
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What is Strategy using Bitcoin as collateral for?
Strategy has shifted to using BTC as collateral backing its STRC preferred stock, replacing the older "never sell Bitcoin" posture that previously anchored investor expectations.
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What happens if STRC keeps drifting below par?
Strategy would either top up the BTC collateral backing the preferred or buy back shares in the open market, both of which add incremental Bitcoin demand and feed Standard Chartered's $100K call.
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