What to know:
- STRC fell to its lowest point ever at $89 and its intraday low at $88.50.
- The stock reached its weakest level since its listing in July 2025, below $100 par pressure.
- STRC sold 32 BTC for $2.5M; ATM share issuance stopped amid Bitcoin near $65,000 concerns.
Strategy Bitcoin sentiment weakened sharply as Strategy’s preferred stock STRC dropped to a record low of $89, extending losses driven by declining Bitcoin prices and rising concerns over dividend sustainability. Sentiment deteriorated further amid crypto market uncertainty in recent trading sessions.
STRC dipped to a low of $88.50 on June 17 and closed at $89, setting a record low since its listing in July 2025 and marking the lowest level of the past 52 weeks based on recent market data.
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STRC Price Drops Below $100
STRC is a Variable Rate Series A Perpetual Stretch Preferred Stock issued by Strategy and designed to be priced around $100 par value with a high dividend yield, subject to monthly resets and twice-monthly cash payments to its holders. The mechanism was created to ensure a relatively stable pricing and liquidity environment.
STRC’s ongoing price decline has put the stock below $100 par amid Bitcoin declines and growing concerns over its ability to sustain the high dividend yields. Investors became more cautious amid increased risks associated with crypto market dynamics and potential yield leverage effects. Sentiment has declined further ahead of the Fed rate decision publication.
Strategy Bitcoin STRC Decline Triggers Investor Concern
Previously, Strategy Bitcoin used the at-the-market issuance program to issue new STRC shares and buy Bitcoin whenever STRC was trading above $100. However, the company has recently suspended its ATM program after STRC started trading consistently below its par value amid declining market conditions.
STRC’s weakness was attributed to weak Bitcoin prices and a generally pessimistic outlook, as Bitcoin is currently ranging around $65,000 while investors await signals from the Fed’s Open Market Committee Meeting. The crypto and other yield stocks faced increased uncertainty amid risk-off sentiment in recent sessions.
Investor concerns increased after reports that Strategy Bitcoin had sold 32 Bitcoin for $2.5 million in May to cover STRC dividend payments, being its first sale of BTC since 2022. However, Analysts from Benchmark and TD Cowen claimed that this was probably not related to a liquidity death spiral.
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