Bitcoin Price Could Reverse Following Tech Stocks, Peter Schiff Says

What Happened

The company repurchased about $176.3 million of STRC across the latest reporting window, with most of the funds drawn from its USD Cash balance and the remainder from interest on cash and short-term investments.

Market Context

Strategy bought 334 BTC for about $28.7 million and repurchased $176 million of STRC in its latest disclosure, even as Peter Schiff warned that the Bitcoin price could reverse if technology stocks pull back. The competing signals leave a sharper question than whether Strategy is still accumulating: can its current funding mix sustain larger purchases if market appetite for risk fades?

Strategy’s holdings reached 848,000 BTC, just over 4% of Bitcoin’s total supply. Bitcoin was trading around $86,000, up more than 4% over seven days and more than 8% over 30 days, but still down 30% year over year.

The latest figures distinguish a $4.88 billion USD Reserve, designated for preferred dividends and debt interest, from $833.4 million in USD Cash for general purposes that include Bitcoin purchases. Those balances provide liquidity, but they are not interchangeable: the reserve has a stated obligation, while cash is the more direct pool for discretionary purchases.

Schiff’s argument concerns STRC’s ability to provide fresh capital, not whether Strategy can make any further purchase. STRC had recovered to about $99.40 after falling to around $75 during the summer; its reported notional value was $8.93 billion, with a 12% variable dividend and a 12.07% effective yield.

The $80,000 Recovery as Bitcoin Price Reference Point

Schiff linked the Bitcoin price move back above $80,000 to improved confidence and possible short covering. That makes the level relevant to his account of the recovery, but the reported evidence does not establish it as technical support.

The latter price is near $86,000, and the reported weekly and monthly gains show that the rebound extended beyond the $80,000 threshold. The year-over-year decline, however, puts those shorter-term advances in context: they describe a recovery from weaker prices, not a return to the level seen a year earlier.

Schiff also tied his outlook to falling bond prices, weak inflation and employment signals, and oil near $91 a barrel after a G7 pledge to release 100 million barrels from strategic reserves. Those are his readings of broader market strain, not evidence that a technology-stock price correction is already underway or that Bitcoin must fall if one occurs.

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Why It Matters

Strategy’s latest filing also showed $15.7 million in net proceeds from MSTR common-stock sales, all directed to Bitcoin, alongside a $13 million draw from USD Cash for the purchase. It bought 334 BTC at an average of $85,838.80.

In late September, it had bought 1,665 BTC for roughly $142.8 million. The contrast is material: the newest addition is evidence of continued accumulation, but at a smaller scale.

Details

Schiff credited the recovery partly to Strategy’s buybacks and Bitcoin’s move above $80,000, but maintained that the rebound had not restored the company’s ability to raise money through new STRC issuance.