Bitcoin Slump Hits Saylor’s Strategy at the Worst Possible Moment

• Strategy reported a $12.4 billion net loss for Q4 2025 after Bitcoin’s price drop triggered a $17.4 billion unrealised loss on its digital assets.
• The stock plummeted 17% to $106.99 as Bitcoin fell below $63,000, marking its sharpest decline since late 2024 and resulting in a 30% year-to-date loss.
• Over $1.4 billion in leveraged liquidations accelerated the market crash, though the company continues its aggressive acquisition strategy with a $2.1 billion purchase in January.

Bitcoin’s selloff extended into the new week, and it hit Strategy at the worst possible time.

The  company reported its Q4 2025  results as Bitcoin fell below about US$63,000 (AU$90K) this Friday, its sharpest drop since September 2024, based on CoinGlass data. 

The stock closed at US$106.99 (AU$163.69), falling 17%. It has dropped about 30% year to date.

Operating loss for the fourth quarter of 2025 was $17.4 billion, compared to an operating loss of $1.0 billion for the fourth quarter of 2024. Operating loss for the fourth quarter of 2025 includes an unrealized loss on the Company’s digital assets of $17.4 billion. Net loss for the fourth quarter of 2025 was $12.4 billion, or $42.93 per common share on a diluted basis, as compared to a net loss of $670.8 million, or $3.03 per common share on a diluted basis, for the fourth quarter of 2024.

Strategy

The point is not that Strategy is forced to sell, but more that their model turns Bitcoin volatility into big swings in reported value and investor sentiment. If BTC stays below its average cost for long, the market tends to treat the stock like leveraged BTC exposure.

Related: Michael Burry Warns Bitcoin Breakdown Could Trigger “Sickening” Cascade

Is Strategy Buying Again Despite Bitcoin’s Massive Sell-Off?

Bitcoin sold off hard into early February, with heavy forced selling from leveraged traders. The US$1.4 billion (AU$2 billion) in liquidations means a lot of long positions were closed automatically as price fell, which can accelerate drops because liquidations become market sells.

Finally, Bitcoin’s RSI below 30 is a classic “oversold” signal that often precedes short bounces, but it doesn’t guarantee a bottom. The US$58,000–US$69,000 (around AU$83K to AU$99K) zone is highlighted as key support because it matches heavy prior trading and long-term trend levels traders watch.

Just recently, Michael Saylor, chairman and founder of Strategy, hinted at a fresh Bitcoin buy, but nothing confirmed so far. Its last known purchase is dated January 22, when it bought US$2.1 billion (AU$3.02 billion).

Read more: Meta Missed Repeated Warnings as Australian Influencer Promoted Illegal Crypto Gambling

The post Bitcoin Slump Hits Saylor’s Strategy at the Worst Possible Moment appeared first on Crypto News Australia.