# Strategy may sell up to $1.25 billion of Bitcoin, shares jump 6%

**Published:** 2026-06-29T15:12:25.474Z  
**Topic:** Bitcoin  
**Sentiment:** neutral  
**Publisher:** TrendWatcher — https://www.trendwatcher.in/article/c02fa4b2-b1f8-4767-8f70-47697f7130e2

Strategy (MSTR) plans to liquidate up to $1.25 bn of BTC, boosting its cash reserve and sending the stock 6% higher while Bitcoin briefly tops $60,000.

Strategy announced it could sell as much as $1.25 billion worth of Bitcoin, a move that lifted MSTR shares about 6% in pre‑market trading and nudged Bitcoin above $60,000 after a recent dip below $59,000 [1][2].

| At a glance | |
|---|---|
| BTC sale authorization | Up to $1.25 bn |
| Bitcoin price reaction | > $60,000 (up from sub‑$59k) |
| MSTR share move | +6% pre‑market |
| Cash reserve | $2.55 bn (≈ 17.4 months dividend coverage) |

## Capital restructuring and the BTC sell‑off  
In a June 29 filing, Strategy (Nasdaq: MSTR) disclosed a “Digital Credit Capital Framework” that includes a $1.25 bn Bitcoin monetization program to fund dividend and debt obligations [2]. The company already holds a $2.55 bn cash reserve, enough to cover 17.4 months of its preferred‑stock dividend and interest commitments, with a board‑mandated floor of 12 months [2]. By adding the BTC sale capacity, total liquidity rises to $3.80 bn, or roughly 25.9 months of coverage [2].

The announcement came as Bitcoin was recovering from a 21‑month low under $59,000, a level it hit last week before modestly rebounding [1]. The news pushed the cryptocurrency back above $60,000, a breakout that coincided with the stock’s 6% pre‑market gain [2].

## Market impact and balance‑sheet implications  
MSTR’s dual‑track approach—boosting cash while authorizing a sizable BTC liquidation—aims to shore up its balance sheet amid heightened scrutiny of its Bitcoin‑backed funding model [1]. The company’s preferred‑stock dividend obligation sits at roughly $1.76 bn annually; the combined cash and BTC capacity now exceeds that liability by more than double [2]. Analysts note that the ability to tap Bitcoin for liquidity adds a non‑cash lever, but also signals that the firm may need to draw down its crypto holdings if market conditions worsen.

## What to watch
- Bitcoin price at $58,000 – $60,000: a breach below $58k could trigger further BTC sales.  
- MSTR’s preferred‑stock dividend dates (starting July 1, 2026) and any board approvals for BTC drawdowns.  
- Upcoming SEC filings or shareholder votes that could adjust the $1.25 bn sell‑off ceiling.

The plan underscores Strategy’s shift from a pure “bitcoin treasury” model to a hybrid liquidity strategy, raising questions about how much of its crypto reserve will ultimately be liquidated and how that will affect both the stock and Bitcoin’s price dynamics.

## Sources
1. TheStreet — [Strategy prepares to sell up to $1.25 billion of Bitcoin](https://www.thestreet.com/crypto/markets/strategy-prepares-to-sell-up-to-1-25-billion-of-bitcoin)
2. Zerohedge — ["Bitcoin Is Capital": Saylor's Strategy Says May Sell Up To $1.25...](https://www.zerohedge.com/crypto/bitcoin-capital-saylors-strategy-says-may-sell-125-billion-crypto-fund-dividends)

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Cite as: TrendWatcher, "Strategy may sell up to $1.25 billion of Bitcoin, shares jump 6%", https://www.trendwatcher.in/article/c02fa4b2-b1f8-4767-8f70-47697f7130e2