MSTR stock faces 35% risk as MicroStrategy’s Bitcoin buying continues

MSTR stock price continued its recent downtrend on Monday as volatility in the crypto market remained.

MicroStrategy dropped to $136, down by 75% from its all-time high. It then stabilized at $145 as Bitcoin ($BTC) pared back some of its earlier losses and moved above $78,000.

Strategy also stabilized after the company revealed that it acquired 8555 coins worth over $75 million last week. It was its smallest purchase in three weeks.

The company now holds 713,502 coins, which it bought for the average price of $76,052. At its lowest level on Monday, Strategy’s unrealized losses jumped to over $900 milllion.

Strategy has access to more cash to continue it Bitcoin buying spree. Its buying report showed that it has access to over $8 billon worth of the MSTR stock to sell to raise capital. It also has $20 billion worth of STRK preferred shares, $4 billion of STRD, $3.6 billion of STRC, and $1.6 billion of STRD stock.

Therefore, there is a likelihood that Saylor will use the lower Bitcoin price to continue the accumulation. His view is that Bitcoin will ultimately bounce back and move to a new record high.

History shows that Bitcoin always rebounds whenever it crashes into a bear market. For example, $BTC crashed by over 35% between its highest point in January last year and its lowest point in April. It then rebounded to a record high in May.

Bitcoin also slipped by over 70% between its highest level in 2021 and lowest level in 2022. It then surged from below $16,000 in 2022 to $126,200 in 2025. Therefore, the most likely scenario is where Bitcoin rebounds later this year.

MSTR stock price technical analysis

Strategy stock chart | Source: TradingView

The weekly chart shows that the MicroStrategy share price has been in a strong downward trend. It has now crashed below the 61.8% Fibonacci Retracement level, confirming the downward trend.

The Average Directional Index has jumped to 33, its highest level since March last year. A soaring ADX indicator is a sign that the downward trend is gaining momentum.

The stock moved below all moving averages and the Supertrend indicator. Therefore, the most likely scenario is where it drops by 35% to $100 and then resumes the downward trend.