74% of Strategy’s Bitcoin Holdings Enter Loss Territory

Bitcoin’s ongoing negative price movements have put many of its investors—both small and large holders—in unrealized losses as its price continues to retest multi-month lows.

While the volatility has affected many Bitcoin positions, the world’s largest Bitcoin treasury firm, MicroStrategy, has suffered one of the most noticeable and biggest losses during this period.

MicroStrategy slips into massive unrealized losses

On Thursday, June 4, a CryptoQuant analyst shared data revealing that MicroStrategy has slipped into massive unrealized losses as Bitcoin continues to drop sharply, retesting $61,000 for the first time since February.

The data reveals that about 74% of the 843,706 BTC held by MicroStrategy is currently held at a massive loss. This means that about 624,342 Bitcoin held by MicroStrategy were purchased at prices above Bitcoin’s current trading price, which is hovering around $61,000.

The analyst further shared a chart that tracks the percentage of MicroStrategy’s Bitcoin holdings that are in profit versus loss over time, which revealed a sharp decrease in the firm’s profitability.

With the current crypto market situation, the share of MicroStrategy’s Bitcoin holdings that are in profit has fallen to about 26%, while the remaining 74% sits in loss territory.

MicroStrategy remains resilient

Despite the company’s heavy losses, its chairman, Michael Saylor, has continued to reaffirm the company’s unrelenting bullish stance on Bitcoin, following Saylor’s strong conviction in Bitcoin’s future price potential.

While Bitcoin has fallen by over 14% in the past seven days, Saylor has confirmed that the company would continue to buy Bitcoin during both bullish and bearish market conditions.