Strategy, the software-turned-Bitcoin-treasury company led by executive chairman Michael Saylor, has reached a breakeven point on its cumulative Bitcoin purchases after the cryptocurrency surged past $77,000 following a record short squeeze.
The milestone caps a months-long period of paper losses that had drawn scrutiny from investors and analysts. Strategy’s average cost basis across its multi-billion-dollar Bitcoin stack now sits below the current market price, meaning the company’s holdings are collectively in the green for the first time since the broader crypto correction began in early 2026.
How the Breakeven Was Reached
Strategy has been one of the most aggressive corporate accumulators of Bitcoin, using a combination of equity offerings, convertible notes, and at-the-market stock sales to fund purchases. The company raised $334 million through stock sales in mid-August alone, though it did not deploy those proceeds into additional Bitcoin buys at that time.
The breakeven arrived as Bitcoin rallied approximately 25 percent from its June lows near $62,000, driven by the U.S. Treasury’s decision to double long-end bond buybacks and a White House crypto summit where President Trump urged Congress to pass the CLARITY Act regulatory framework.
The Cointelegraph report noted that the breakeven came just days after Bitcoin reclaimed its 200-day moving average for the first time in nine months, a technical milestone that drew additional momentum buying.
Market Implications
The breakeven is significant not just for Strategy but for the broader corporate Bitcoin treasury thesis. At least a dozen publicly traded companies now hold Bitcoin on their balance sheets, and Strategy’s paper losses had become a barometer for the viability of the strategy.
Investors will be watching closely to see whether Saylor uses the improved position to accelerate purchases or remains cautious after the $334 million equity raise went undeployed. The company’s stock has tracked Bitcoin’s recovery, though it trades at a premium to net asset value that reflects continued investor confidence in Saylor’s conviction.
The $2.7 billion short liquidation wave that accompanied Bitcoin’s push above $77,000 created what analysts described as a self-reinforcing rally, though questions remain about whether spot demand can sustain the pace once forced buying exhausts itself.
Sources: Cointelegraph; Fortune; XBO Research; Coinglass
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