Strategy Shares Plunge to Annual Low Amid Bitcoin Weakness

Strategy US5949724083

Shares of Strategy experienced a severe downturn during Thursday's trading session. The stock closed at $143.19, marking a decline of 9.63% and establishing a new 52-week low. This significant drop is directly linked to the recent correction in the cryptocurrency market, which has heavily impacted the software firm.

The company's substantial exposure to digital assets is the primary driver behind the equity's sharp movement. Strategy's balance sheet currently holds 712,647 Bitcoin, tying its financial performance closely to the volatile crypto sector. When Bitcoin prices retreated sharply on January 29, the company's stock was pulled down in immediate response. By the market close, Strategy's total market valuation had fallen to approximately $40.6 billion.

Notably, the company had increased its crypto position just days before the decline. On January 26, Strategy purchased an additional 2,932 Bitcoin for roughly $264 million. The subsequent depreciation in the digital asset's value has therefore placed noticeable pressure on the firm's overall portfolio.

Broader Tech Sector Sell-Off Adds Pressure

A generally risk-averse sentiment across the technology sector exacerbated the selling pressure. The US Tech 100 index also registered losses, which placed further strain on highly volatile equities like Strategy. In this environment, investors showed little appetite for maintaining speculative positions.

Upcoming Quarterly Report in Focus

Market participants are now looking ahead to the company's fourth-quarter 2025 earnings release, scheduled for February 5, 2026. While the core analytics software business—which generated $128.69 million in revenue in Q3—will be scrutinized, the potential valuation impact of the Bitcoin holdings is expected to be a central focus. The recent price correction in cryptocurrency markets is likely to be reflected in these forthcoming results.

@ boerse-global.de | US5949724083 STRATEGY