Strategy left its Bitcoin holdings unchanged at 840,447 BTC for the week ending Aug. 16, according to a filing with the U.S. Securities and Exchange Commission. At the same time, the company’s USD reserve increased to $4.8 billion.

The issue now is less about whether Strategy still owns Bitcoin and more about whether BTC can withstand a period of weakness without the company’s steady buying. Strategy’s average Bitcoin acquisition price stands at $75,385 per coin, while its purchases have become a familiar source of demand in the market.

Strategy Puts Bitcoin Purchases on Hold

The company confirmed that it made no Bitcoin purchases or sales between Aug. 10 and Aug. 16. That followed a sale of 1,690 BTC worth $108.6 million the previous week, with the proceeds used for preferred-stock obligations rather than fresh Bitcoin accumulation.

Instead, Strategy raised $333.7 million by selling 3,458,866 MSTR shares through its at-the-market offering.

From those proceeds, $149.1 million was transferred to the USD reserve, $132.2 million was used to repurchase 1,388,720 STRC preferred shares, and $52.4 million went toward preferred dividends. Executive Chairman Michael Saylor said the strategy was intended to strengthen the company’s financial position rather than increase its Bitcoin holdings.

Strategy launched the USD reserve on June 29 with $2.55 billion under its Digital Credit Capital Framework. The balance has since climbed to $4.8 billion in around seven weeks. The reserve is designed to handle preferred dividends and debt interest, providing additional liquidity alongside the company’s Bitcoin treasury.

A Missing Corporate Buyer

Strategy’s latest moves show a clear shift in capital allocation. The company is issuing common stock, supporting its STRC preferred shares around $99–$100 and building its cash position instead of directing capital toward Bitcoin.

However, there is no evidence that Strategy has abandoned its long-term Bitcoin strategy. Its 840,447 BTC still ranks among the largest corporate holdings, while the company retains $653 million in unused STRC repurchase capacity and a $1 billion authorization for MSTR buybacks.

The temporary absence of Strategy’s Bitcoin purchases could nevertheless affect market dynamics. Investors have become accustomed to seeing the company buy BTC during periods of weakness, creating a relatively predictable source of demand. Without that support, Bitcoin could become more sensitive to ETF flows, derivatives positioning and spot-market activity.

Bitcoin Is Below Strategy’s Average Purchase Price

Strategy has invested approximately $63.36 billion in Bitcoin, giving it an average cost of $75,385 per BTC. With Bitcoin trading near $64,268 at the time of the report, the company’s average purchase price remains substantially higher than the market price.

Saylor also noted that STRC gained 9% over the year through Aug. 14, while Bitcoin declined 47%. The difference in performance helps explain why Strategy is currently prioritizing its preferred-stock obligations instead of putting additional funds into BTC.

Its high cost basis could also make further accumulation more complicated. If MSTR trades below its net asset value, buying Bitcoin through additional equity issuance could dilute shareholders without creating the same per-share benefit that existed when the stock commanded a premium.

Bitcoin’s Next Source of Support

With Strategy’s regular purchases temporarily absent, Bitcoin’s near-term direction could increasingly depend on ETF flows, derivatives activity and underlying spot demand.

That makes key technical support areas more important for traders. A breakdown below those levels could potentially lead to a deeper move if Strategy remains absent from the market as a buyer.

The company also has an important MSCI review ahead. Feedback is due by Sept. 30, with a decision expected around Oct. 16 before the November index rebalance.

An MSCI decision to remove MSTR from global equity indexes could lead to additional passive-fund selling and increase pressure on Strategy while it is already focused on maintaining liquidity. It would also provide a major test of whether the company’s $4.8 billion reserve can absorb financial stress.

If Strategy resumes Bitcoin purchases after its STRC commitments stabilize, the current buying pause could prove to be temporary.

But if the pause continues into the fall and MSCI delivers an unfavorable decision, Bitcoin volatility could rise as traders adjust to a market operating without one of its most reliable corporate sources of demand.