Adding over $100 million against the trend, Bitcoin whales firmly believe that a drop to $88,000 is a good opportunity

Faced with short-term market adjustments and year-end liquidity tightening, Strategy chose to buy 1,229 Bitcoin between December 22 and 28 at an average price of $88,568 per coin. After this purchase, the company’s total Bitcoin holdings led by Michael Saylor reached 672,497 coins, with an average cost basis of $74,997 per coin.

Market Dynamics

Recently, Bitcoin prices have experienced significant volatility. At the end of December, Bitcoin briefly recovered the $90,000 level but then faced a pullback. Analysts point out that this rebound was driven more by technical factors rather than new market catalysts. Liquidity is typically weaker during the year-end holiday period, making prices more sensitive to relatively small capital flows. Although prices have rebounded somewhat, overall market sentiment remains cautious. For most of December, Bitcoin’s trading range was confined between $86,500 and $90,000.

The market was weighed down by over $1 billion in ETF fund outflows related to tax-loss harvesting. According to the latest data from Gate on December 30, Bitcoin’s price, after oscillating, is now hovering in the $88,000 to $90,000 range.

Contrarian Action

Against the backdrop of Bitcoin price pressure and the company’s stock price declining in tandem, Strategy once again made a notable contrarian move. According to filings with the U.S. Securities and Exchange Commission, the company purchased 1,229 Bitcoin in the past week. The total transaction amounted to approximately $108.8 million, with an average purchase price of $88,568 per coin. Notably, this large purchase was entirely funded by proceeds from the company’s sale of its common stock. During the same period, Strategy sold 663,450 shares of MSTR stock, with all net proceeds used to buy Bitcoin.

After this transaction, Strategy’s year-to-date return on Bitcoin investments reached 23.2%. Since early 2025, the company has deployed substantial funds into Bitcoin assets through its ongoing stock issuance program.

Asset Portfolio

This additional purchase further consolidates Strategy’s position as one of the world’s largest corporate Bitcoin holders. As of December 28, the company held a total of 672,497 Bitcoin, with an accumulated cost basis of approximately $50.44 billion. Based on current Bitcoin prices, this asset has a market value significantly higher than its cost, resulting in substantial unrealized gains on the books.

In addition to Bitcoin holdings, Strategy emphasizes maintaining financial robustness. The company has previously increased its USD reserves to $2.19 billion. These reserves are intended to cover at least 12 months of preferred stock dividends and debt interest payments, with a long-term goal of covering 24 months or more.

Analysts have mixed views on this move, with some believing it enhances the company’s resilience against a “long crypto winter.”

Market Divergence

Strategy’s continued accumulation of Bitcoin has sparked differing opinions in the market. Long-term bulls see this as a firm display of confidence in the company’s core strategy and Bitcoin’s long-term value. However, skeptics, such as well-known Bitcoin critic Peter Schiff, point out that Strategy has been adding to its holdings over the past five years at an average cost of about $75,000, and its current unrealized gains do not translate into a remarkable annualized return.

From a broader asset comparison perspective, debates also exist. Since 2015, Bitcoin’s price appreciation has far outpaced traditional precious metals like gold and silver. However, some argue that the market environment over the past four years has changed, and comparing long-term historical data may not reflect current realities. Matt Golliher, co-founder of Orange Horizon Wealth, notes that a fundamental difference between Bitcoin and commodities is its fixed supply, which means it is not affected by the traditional mechanism of “price increases stimulating production, thereby increasing supply and lowering prices.”

Future Outlook

Looking into early 2026, market attention is beginning to shift toward several potential key catalysts, including a possible reversal of Bitcoin ETF outflows in January, regulatory developments, and the Federal Reserve’s monetary policy trajectory. Historical data shows that Bitcoin has not experienced two consecutive years of decline, which gives some market participants hope for positive momentum in 2026.

Additionally, the macroeconomic “de-dollarization” trade logic could support assets like Bitcoin. Market expectations suggest that after a leadership change at the Federal Reserve in 2026, policy may shift toward rate cuts, which could put pressure on the dollar and benefit assets viewed as stores of value, such as gold, silver, and Bitcoin.

Matt Hougan, CIO of Bitwise, believes that Bitcoin will continue to deliver high returns over the next decade, despite inevitable significant annual volatility.

Strategy decisively increased its holdings with over $100 million when Bitcoin dipped near $88,000. This move not only pushed its total Bitcoin treasury to a new high of 672,497 coins but also resulted in a year-to-date return of 23.2% on its Bitcoin investments. These actions clearly demonstrate its long-term strategic commitment to Bitcoin as a primary reserve asset. Currently, the Bitcoin market is experiencing year-end liquidity tests and price consolidation. However, institutions like Strategy continue to accumulate, contrasting sharply with short-term price fluctuations.

For ordinary investors, maintaining rationality, making decisions based on personal risk tolerance, and paying attention to real-time data and in-depth analysis on platforms like Gate may be more important than chasing short-term volatility. The next chapter of the market will unfold through the combined influence of institutional conviction, macroeconomic factors, and technological innovation.