January 12, 2026
Finance

Strategy Inc. Invests $1.25 Billion in Bitcoin While Stock Faces Critical Support Challenges

Despite Significant BTC Acquisition, MSTR Shares Struggle Near $150 Key Level

Loading...
Loading quote...

Summary

Strategy Inc. recently executed a substantial Bitcoin purchase totaling 13,627 coins for $1.25 billion, averaging approximately $91,519 per BTC. This purchase marks the company's largest Bitcoin acquisition in 2026 and its most considerable since July 2025, bringing its total holdings close to 700,000 Bitcoins. However, the company’s stock, ticker MSTR, has encountered significant technical resistance, hovering around a critical $150 support level after a steep decline from its mid-2025 peak. Technical indicators suggest increased volatility, with uncertain prospects for a near-term rebound.

Key Points

Strategy Inc. purchased 13,627 Bitcoin for $1.25 billion at an average price of $91,519 per coin.
The total Bitcoin holdings of Strategy now amount to 687,410 coins valued at approximately $51.80 billion.
This Bitcoin acquisition is the company's largest in 2026 and the biggest since July 2025, financed through preferred and common stock sales.
MSTR stock is currently trading near critical $150 support after a 67% decline from its peak, situated below all major moving averages and technical indicators suggest bearish momentum.

Strategy Inc. has made a significant move in the cryptocurrency space by acquiring 13,627 Bitcoin for a total of $1.25 billion. This transaction results in an average cost of approximately $91,519 per Bitcoin, demonstrating a strong commitment to expanding its digital asset portfolio. With this purchase, Strategy Inc.'s total Bitcoin holdings now stand at 687,410 coins, accumulated at an average price of $75,353 each, marking a substantial investment valued at $51.80 billion.

This latest acquisition is the largest made by Strategy Inc. so far in 2026 and surpasses the scale of any purchase since July 2025. It also exceeds the two Bitcoin buys in December, each exceeding $1 billion in value. To finance this recent procurement, Strategy Inc. sold 1.2 million STRC preferred shares for $119.1 million and 6.8 million common shares of MSTR, the company's stock, for $1.13 billion. This strategic capital raising enabled the company to support its aggressive Bitcoin expansion without apparent external borrowing.

The company’s Executive Chairman, Michael Saylor, indicated this transaction in a Sunday post featuring the company’s Bitcoin portfolio tracker, nicknamed “₿ig Orange,” signaling the scale and seriousness of the purchase to the investing public.

Earlier in the current year, Strategy Inc. also procured 1,286 Bitcoin, totaling $116 million, between December 29 and January 4, underscoring the company’s ongoing confidence in accumulating cryptocurrency despite prevailing market conditions.

With nearly 700,000 Bitcoins in possession, the company approaches a notable milestone in its digital asset buildup. This is occurring as legislative developments like the Clarity Act markup are expected later this week, potentially impacting cryptocurrency regulation.


Turning to Strategy Inc.'s stock performance, the MSTR shares are currently struggling to maintain critical support around the $150 mark. After experiencing a dramatic drop of 67% from their peak in July of last year, the stock is now trading below all principal moving averages. Specifically, it lies under the 20-day exponential moving average (EMA) at $164.46, the 50-day EMA at $193.81, the 100-day EMA at $238.36, and the 200-day EMA at $272.37.

The Supertrend indicator further reflects a bearish outlook at $181.47, highlighting sustained downward momentum. Additionally, the stock price remains confined within a descending channel that traces its decline from summer highs, suggesting continued pressure on the price level.

Despite being in a technically oversold condition, the stock has yet to show a meaningful recovery attempt. This lack of upward price movement under severe oversold circumstances serves as a cautionary signal for investors and analysts.

The $150 price level constitutes a significant support zone for MSTR shares, having held through multiple retests. Should this support fail, the stock could descend first to a range between $140 and $145, followed by the psychologically important levels of $120 to $130. A further drop below $120 may trigger a more severe collapse toward $100 or lower, increasing downside concerns.

Conversely, a potential recovery would require MSTR to break decisively above the 20-day EMA at $164.46, then push through resistance in the $175 to $180 range. Surpassing the 50-day EMA at $193.81 would represent an initial sign of genuine trend reversal, while ultimate recovery targets would align with the higher moving averages situated between $238 and $272, corresponding to the 100-day and 200-day EMAs.

On shorter trading timelines, MSTR shares have been consolidating tightly within a narrow band between $155 and $158. Within this range, the volume-weighted average price (VWAP) at approximately $156.64 serves as an immediate pivot point. This consolidation pattern points toward an imminent resolution in stock direction, with increased volatility expected as the trading range resolves.

Risks
  • Failure of MSTR stock to maintain the $150 support level could trigger further declines to $140-145, then $120-130, with risk of dropping below $100.
  • Sustained trading below key moving averages reflects downward pressure and bears risk of continued weakness.
  • Lack of meaningful bounce despite oversold condition raises concerns about potential prolonged downtrend.
  • Regulatory developments such as the Clarity Act markup could introduce uncertainties impacting the company's cryptocurrency holdings and associated valuation.
Disclosure
Education only / not financial advice
Search Articles
Category
Finance

Financial News

Ticker Sentiment
MSTR - neutral
Related Articles
Amazon's Investment Propels Beta Technologies Stock in After-Hours Trading

Beta Technologies Inc, an aerospace company specializing in electric aircraft and propulsion systems...

Cryptocurrency Market Holds Steady Amid Anticipation of US-Iran Developments

The cryptocurrency market demonstrates a cautious stance as Bitcoin approaches the $69,000 mark. Oth...

Treasury Secretary Highlights Urgency for Crypto Regulatory Clarity Amidst Coinbase Opposition

In light of recent fluctuations in cryptocurrency markets, U.S. Treasury Secretary Scott Bessent emp...

Significant Declines in Dogecoin and Shiba Inu Prompt Technical Analysis on Key Support Levels

Dogecoin and Shiba Inu experienced notable price drops recently, with both cryptocurrencies losing g...

XRP's Market Prospects in 2026: Assessing the Path Toward $1

The cryptocurrency sector is experiencing significant downturns at the beginning of 2026, with XRP, ...

SoFi Shares Slip Slightly Despite Strong Q4 Earnings and Bullish Outlook

SoFi Technologies Inc’s stock saw a minor decline Tuesday afternoon following a period of heighten...