Seller Exhaustion or a Bottom? Strategy Gains 11% From Session's Worst Levels

Markets Share Share this article Copy link X icon X (Twitter) LinkedIn Facebook Email Seller Exhaustion or a Bottom? Strategy Gains 11% From Session's Worst Levels The company Monday morning announced it had raised $1.44 billion via common stock sales as a reserve to pay preferred dividends for nearly two years. By Stephen Alpher Dec 1, 2025, 9:49 p.m. Strategy bounces from worst levels Monday (Getty Images) What to know : Strategy lost ground on Monday, but managed a sizable bounce from its worst levels even as bitcoin held near session lows. The company earlier in the day announced the sale of common stock to raise cash in which to fund preferred dividends. For now, the action appears to be little more than short-covering after the swift plunge in the company's stock, but there are signs a bottom might be in. An overnight crash in the price of bitcoin combined with a difficult to digest capital raise to send Strategy (MSTR) shares tumbling 12.5% to their weakest level in nearly 15 months in U.S. morning trading on Monday. And yet, despite no bounce in the price of bitcoin BTC $ 86,378.70 — which remained near session lows of about $85,000 for the entire day — MSTR managed to nearly erase all of its losses, finishing lower by "just" 3.25%. STORY CONTINUES BELOW Don't miss another story. Subscribe to the Crypto Daybook Americas Newsletter today . See all newsletters Sign me up By signing up, you will receive emails about CoinDesk products and you agree to our terms of use and privacy policy . Until proven otherwise, the action appears to be no more than short-covering by fully satiated bears. At Strategy's weakest level on Monday of $155.61, the stock was lower by nearly 40% over just the past month and 66% from its 2025 high hit in mid-July. Any bears not covering their shorts at that point are surely in the wrong business. King dollar Facing pressure from critics and investors about Strategy's ability to fund preferred share dividends, Michael Saylor and team early Monday announced the company had spent the past couple of weeks selling common stock to raise a $1.44 billion reserve with which to pay preferred dividends for the next 21 months. The company's goal is to eventually have enough cash in reserve to pay dividends for a minimum of 24 months. It was a startling turnaround for the pre-eminent bitcoin treasury company, but plunging bitcoin prices combined with a crash in the company's market valuation relative to its bitcoin holdings likely left it no other choice if it didn't want to start liquidating its massive BTC stack (650,000 coins at last check). None too pleased at the potential dilutive effects of this new strategy, investors in the common stock sold heavily on the news, sending MSTR lower by about 12.5% in Monday action. No-coiner and gold bug Peter Schiff took the news as an opportunity to pile on. "So Strategy's new business model is to sell stock to raise cash, then use that cash to buy Treasuries that yield about 4% to fund the issuance of debt and preferred stock at a cost of 8%–10%," he said . "How much longer will investors pretend this is a viable business just to gamble on Bitcoin?" "Today is the beginning of the end of Strategy," continued Schiff . "Saylor was forced to sell stock not to buy Bitcoin, but to buy U.S. dollars merely to fund Strategy's interest and dividend obligations. The stock is broken. The business model is a fraud, and Michael Saylor is the biggest con man on Wall Street." Whether or not today's reversal marks a bottom for the struggling shares of Strategy remains to be seen. Battered Strategy (and bitcoin) bulls, however, might take some solace from the dozens of other times Peter Schiff has taken a victory lap amid the sector's difficulties, only to see the situation reverse completely with weeks or months. Strategy More For You Protocol Research: GoPlus Security By CoinDesk Research Nov 14, 2025 Commissioned by GoPlus What to know : As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M. GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month. Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B. View Full Report More For You Hedera Tumbles 10% to Crucial Support on Heavy Volume By CD Analytics , Oliver Knight 4 hours ago Hedera’s 10% drop on Dec. 1 has pushed HBAR back to a key support zone, where consolidation, fading volume, and institutional selling pressure are shaping the next move. What to know : HBAR dropped from $0.1459 to $0.1308, breaking key trendline support on heavy volume. Trading activity jumped 25% above weekly averages, signaling institutional engagement. Price found support near $0.1307 as technical consolidation patterns formed. 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