Strategy Warns of $5.9B BTC Loss as Bitcoin Price Nosedives Below $75K! 

In the latest Bitcoin news, Michael Saylor’s Strategy, one of the largest corporate Bitcoin holders, may soon have to sell off some of its Bitcoin holdings to meet its financial obligations. The Bitcoin treasury company is under financial strain due to mounting debt and unrealized losses. In a regulatory filing on April 7, it was revealed that the firm may be forced to sell a portion of their holdings if it fails to secure additional financing. This update comes at a time when the Bitcoin price is massively underperforming on the charts. 

Mounting Financial Pressure on Strategy

Strategy holds $528,128 BTC purchased at an average price of $67,548 per coin. This points to over $35 billion in investments. However, with the recent Trump tariff mayhem, Bitcoin has now dipped below $80,000, trading around $74,000 as of now. This has led to massive paper losses for Strategy. For Q1 2025, the expected unrealized loss for Strategy is speculated to be at $5.9 billion, despite a whopping $1.69 billion tax advantage. 

The rumor has it that Strategy filed an 8-K form with the SEC on April 7, stating that if the price of Bitcoin continues to fall, the company may be forced to sell its Bitcoin holdings to repay debts. It was found that this statement is a standard risk disclosure practice, and it…

— Wu Blockchain (@WuBlockchain) April 9, 2025

The company’s financial problems are exacerbated by its $8 billion debt. This debt alone accounts for $35 million in annual interest payments and $150 million in annual dividends. Its core business in the software niche has also struggled to generate adequate revenue to alleviate these conditions.

Strategy to Sell Stocks to Avoid Bitcoin Selloff

To address liquidity issues, Strategy recently announced its plan to raise $2.1 billion through the sale of perpetual preferred stock, offering an 8% dividend. While this move aims to reduce reliance on traditional forms of debt, the company’s future is now heavily dependent on the Bitcoin price performance. 

While this failing raises concerns about potential Bitcoin selloffs, analysts note that such warnings have appeared in the past without actually triggering sales. However, Strategy’s problems may have the upper hand on them as of now. If Strategy is forced to resort to the Bitcoin selloff, they might have to do so at prices way below their recent acquisition costs. In other Bitcoin news, however, analysts like Arthur Hayes have expressed strong confidence in a Bitcoin price comeback. Let us also take a look at he latest Bitcoin price performance and form a prediction of our own.

BTC Price Analysis: BTC Loses Progress! Rejected by $81K

Bitcoin commenced trading yesterday at the $79,500 mark. The Bitcoin price initially advanced to test the resistance at $80,800, but failed to break through. The RSI also reached overbought conditions with Bitcoin’s advances. Soon, a death cross formed, and Bitcoin quickly abandoned its support, falling to a new support at $78,880. For a while, the RSI tipped towards the bottom, hinting at stable selling pressure as Bitcoin stabilized and climbed a little to find resistance at $80,160. Bitcoin tested the resistance multiple times, with the RSI again reading overbought levels. 

Chart 1 – Published on TradingView, April 9, 2025

This corroborated a further price drop as Bitcoin slumped to $76,500 support. Bitcoin tried ascending again, but met strong resistance at $77,700. But Bitcoin continued to abandon support due to the lack of buying pressure, falling to its 24H low of $74,680. With the RSI now oversold, Bitcoin started to rise. Although met by some correction, it formed a confident uptrend, closing in on the $77,700 resistance.

BTC Price Prediction: Can Bitcoin Go Back to the $80Ks?

Bitcoin had made respectable progress since the Monday crash. But today, some of the progress seems to have been lost, as Bitcoin returned to $74k. It has continued to systematically abandon its supports. Given yesterday’s performance, it may be difficult for Bitcoin to find bullish pressure soon. As of now, it advances on the $77,700 resistance, but the RSI also seems to be foraying into the overbought zone. So, a reversal may be on the cards. However, if buying pressure persists, we could see a spike above the resistance soon.

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