Strategy Builds $1.44B Cash Reserve as It Pauses Aggressive Bitcoin Buying

The post Strategy Builds $1.44B Cash Reserve as It Pauses Aggressive Bitcoin Buying appeared first on Coinpedia Fintech News

Michael Saylor’s company, Strategy (MSTR), has shifted its approach in a major way, building a $1.44 billion U.S. dollar reserve and slowing down its Bitcoin accumulation. 

According to CryptoQuant, the move shows the company is preparing for weaker or choppy market conditions ahead.

The reserve is designed to cover at least 12 months of dividends and debt payments, and the Strategy plans to stretch this safety buffer to 24 months or more. This marks a clear departure from its earlier model, where the company regularly issued stock and debt to buy large amounts of Bitcoin. The focus has now turned to liquidity, flexibility, and protection.

This shift is already visible. Strategy’s Bitcoin purchases dropped from 134,000 BTC in November 2024 to just 9,100 BTC in November 2025. So far this month, the company has acquired only 135 BTC, confirming that aggressive buying has paused.

Bearish Indicators Signal Potential Bitcoin Downtrend

CryptoQuant says several on-chain indicators are signaling a cooling market. Its Bull Score Index has fallen to zero for the first time since January 2022. Julio Moreno, head of research, says the downtrend began in early November and could push Bitcoin into the $70,000–$55,000 range next year if current weakness continues.

He also notes that Strategy’s large USD reserve slightly increases the possibility of Bitcoin sales, although any sale would only happen after hedging and other protections.

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Strategy’s Dual-Reserve Model Strengthens Balance Sheet

Despite the cautious signals, CryptoQuant says Strategy’s new dual-reserve model holding both USD and BTC makes the company more stable. It reduces the risk of forced Bitcoin sales and gives the firm more flexibility in a downturn.

Analysts at Mizuho Securities agree. They maintained their “outperform” rating and $484 price target for MSTR, stating that Strategy can operate for more than three years at current Bitcoin prices without selling any of its holdings.

Bitcoin Market Outlook Shows 2022-Like Caution

Glassnode says the broader Bitcoin environment now looks similar to early 2022. While Bitcoin is trading above its long-term average cost basis, more than 25% of the supply is currently at a loss. 

Demand from ETFs, spot markets, and futures has weakened, and options traders are expecting lower volatility, signs of a market preparing for uncertainty rather than a breakout.

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