Bitcoin Plunge Causes $12.54B Loss for Strategy, But Rebound Could Mean Big Profits

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Strategy posts $12.54 billion Q1 loss on declining <a href="https://jpyxx.com/btc-usd/">bitcoin</a> priceMarkets

What to know:

  • Strategy (MSTR) reported a $12.54 billion loss in the first quarter of 2026.
  • The loss came as the price of bitcoin fell from about $87,000 to $68,000 during the quarter.
  • Five weeks into the second quarter, bitcoin has rebounded to above $80,000 as Strategy has continued to accumulate BTC at a fast pace, possibly setting the company up for a big profit in the April-June period.

In the first quarter of 2026, Strategy (MSTR) experienced a net loss of $12.54 billion. This was largely due to a significant drop in the price of bitcoin, which fell from approximately $87,000 on January 1st to around $68,000 by March 31st.

Bitcoin’s price has recovered to over $80,000 since the beginning of April, and Strategy has been quickly buying more coins. This could lead to a significant profit for the company when they report their earnings for April, May, and June.

MicroStrategy, led by Executive Chairman Michael Saylor, holds the largest amount of bitcoin of any company, currently possessing 818,334 BTC. They purchased this bitcoin at an average cost of $75,537 per coin.

Strategy finished the first quarter with $2.25 billion in cash, which is enough to pay its preferred stock dividends for about 18 months.

So far this year, MicroStrategy (MSTR) stock has increased by almost 20%, but it’s still down over 50% compared to this time last year.

Since first-quarter earnings were pretty much anticipated, investors will now be paying close attention to the earnings call at 5 p.m. Eastern Time. During the call, MicroStrategy’s Saylor and his team are expected to share their plans for the future.

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2026-05-05 23:09