Jiang Zhuoer, CEO of BTC.TOP, described the recent market selloff as exaggerated, arguing that Strategy’s limited debt load and its preferred-share structure still leave room for continued Bitcoin accumulation.

Speaking on X, the operator of one of China’s largest mining pools pushed back against claims that Strategy had been selling BTC to cover obligations, saying the firm is unlikely to materially unwind its holdings despite recent speculation.

The debate was triggered after an on-chain analyst estimated that roughly 45,000 BTC—about $3 billion—moved out of a Fidelity custody wallet between May 28 and June 1. The analyst suggested Strategy may have been selling gradually at around $66,000 per coin. However, because the same wallet also contains Fidelity’s Bitcoin and Ethereum ETF assets, the connection to Strategy remains unverified and is based on interpretation rather than confirmed data.

In a Sunday post written in Mandarin, Jiang said the narrative had been overstated and lacked strong supporting evidence.

He emphasized Strategy’s balance sheet strength, noting that debt makes up only around 5% of assets and would rise to just about 10% even if Bitcoin dropped to $30,000 from roughly $62,900. In his view, this buffer makes it unlikely the company would abandon its “never sell Bitcoin” positioning, which is central to its market identity.

Jiang also addressed STRC, Strategy’s preferred shares that pay an 11.5% annual dividend distributed monthly. He argued that selling older, low-cost Bitcoin allows the firm to realize accounting gains that can help cover dividend payments, while capital raised from new STRC issuance is used to purchase additional BTC.

As long as Bitcoin purchases exceed any sales, he said, Strategy remains a net accumulator. He also suggested that the willingness to sell some Bitcoin could actually reduce investor concerns, since STRC holders’ main fear is a refusal to sell that could jeopardize dividend payments.

Still, not everyone agrees with this view. Some market participants warned that a prolonged downturn could increase financial pressure and force larger Bitcoin sales regardless of management’s intentions.

Bitcoin was trading near $63,400 on Monday, according to CoinDesk data, down almost 10% over the past week following reports of Strategy’s first Bitcoin sale since 2022.