Strategy, the company led by Michael Saylor, stole the attention of the crypto market after the sudden drop in Bitcoin price below $75,000 caused their BTC holdings to record a paper loss of almost $900 million.
At the time of writing, Bitcoin price is at $76,322, up 0.04% since it opened early Wednesday in Asian trading.
The figure immediately raises the question, is Saylor's Bitcoin empire finally starting to crack?
Strategy now holds 712,647 Bitcoin, making it one of the largest BTC holders in the world.
All of these holdings were purchased in stages at an average price of around $76,040 per Bitcoin.
When the market price fell below that level, the value of Strategy's holdings appeared to decline. However, in reality, none of the Bitcoins were sold.
This means that the loss was only a 'paper loss', not an actual loss. As long as Strategy does not dispose of its Bitcoin, short-term price fluctuations will not have a direct impact on the company's cash flow.
However, the psychological impact on investors is inevitable.
Strategy shares continue to be under pressure and have fallen by about 56% over the past year, reflecting how closely the company's share price is correlated with Bitcoin movements.
But despite the market volatility, Michael Saylor has stuck to his old stance.
In a brief tweet mentioning 'oranges', a signal often associated with previous Bitcoin purchases, he seemed to hint that Strategy may not be finished accumulating BTC.
The situation once again proves how quickly sentiment can change in the crypto market.
The big question now remains: is this drop an early warning, or simply a buying opportunity as Michael Saylor has always believed?
The market is still turbulent and Strategy's next move will surely be the main focus of crypto investors around the world.
