MicroStrategy CEO defends selling 7,000 BTC at $60K–$65K and rebuying at $80K as sound financial management based on cost of capital, not price timing.
Macro & Markets ·
MicroStrategy's chief executive framed the company's Bitcoin sales and repurchases as disciplined capital allocation rather than market timing. In an interview with Bloomberg TV, the executive stated that the roughly 7,000 BTC sold in the $60,000–$65,000 range and the later purchases near $80,000 were both justified by the company's cost of capital dynamics, not by expectations of price movement. Proceeds from the earlier sales funded preferred dividend payments while allowing the company to simultaneously strengthen its financial position.
Over two months, MicroStrategy eliminated approximately $7 billion in net debt and accumulated $7 billion in dollar reserves, according to management. The company now intends to leverage stock sales at elevated valuations to fund further Bitcoin acquisitions, treating purchasing decisions as part of a flexible approach to balance-sheet management. The executive indicated the company could sustain buying at substantially higher price levels—$90,000, $100,000, or even $130,000—provided the underlying financial metrics remain favorable.
What remains unclear is whether the stated cost-of-capital framework would trigger additional Bitcoin sales if the company's borrowing costs or equity valuation metrics shift materially, or whether this "two-way strategy" represents a permanent departure from pure accumulation.