Strategy acquired 334 BTC for approximately $28.7 million and repurchased $176.3 million worth of STRC in its latest reporting period. The transactions came as Peter Schiff warned that Bitcoin could see a reversal if technology stocks weaken, creating a contrast between Strategy’s continued accumulation and broader concerns over risk assets.

The latest activity also raises questions about whether Strategy’s current funding sources can support larger Bitcoin purchases if market sentiment turns more defensive.

Strategy now holds 848,000 BTC, representing slightly more than 4% of Bitcoin’s total supply. Bitcoin was trading near $86,000, up more than 4% over the past week and over 8% over the last 30 days. However, it remained about 30% below its price from a year earlier.

Strategy reported $4.88 billion in USD Reserve, which is allocated toward preferred-stock dividends and debt-interest payments. The company also had $833.4 million in USD Cash available for general corporate purposes, including Bitcoin purchases. Although both balances provide liquidity, the reserve is tied to specific obligations, while the cash balance offers greater flexibility for discretionary spending.

The company generated $15.7 million in net proceeds from MSTR common-stock sales, with the full amount used to acquire Bitcoin. It also tapped $13 million from USD Cash for the purchase. Strategy paid an average of $85,838.80 for each of the 334 BTC.

The latest purchase was significantly smaller than the 1,665 BTC Strategy bought in late September for about $142.8 million. While the company continues to add to its Bitcoin holdings, the latest transaction reflects a slower pace of accumulation.

Schiff’s warning centers on STRC’s ability to provide new capital, rather than on whether Strategy can continue buying Bitcoin. STRC recovered to around $99.40 after falling to approximately $75 during the summer. The security had a reported notional value of $8.93 billion, with a 12% variable dividend and a 12.07% effective yield.

Schiff said STRC benefited from Strategy’s repurchases and Bitcoin’s recovery above $80,000. However, he maintained that the rebound has not restored Strategy’s ability to raise additional funds through fresh STRC issuance.

Strategy repurchased approximately $176.3 million of STRC during the latest reporting period. Most of the purchases were funded with USD Cash, while the remaining amount came from interest earned on cash and short-term investments.

Bitcoin’s $80,000 Recovery

Schiff linked Bitcoin’s move above $80,000 to improving confidence in the market and potential short covering. Although the level is central to his explanation of Bitcoin’s rebound, the available figures do not establish $80,000 as a confirmed technical support level.

Bitcoin has since traded near $86,000, extending its weekly and monthly gains beyond the $80,000 threshold. Yet the cryptocurrency remained about 30% lower than its level a year earlier, showing that the recent advance represents a recovery from depressed prices rather than a full return to previous levels.

Schiff also cited falling bond prices, weak inflation and employment readings, and oil prices near $91 a barrel following a G7 commitment to release 100 million barrels from strategic reserves. These factors support his broader view of market stress, but they do not demonstrate that technology stocks are already entering a correction or guarantee that Bitcoin would decline if such a pullback occurs.