On June 23, CryptoQuant research analyst Julio Moreno issued a pointed recommendation: MicroStrategy (ticker: MSTR) should stop buying Bitcoin and rebuild its cash buffer before its preferred stock collapses further. The advice was sound. It was also two weeks late.<\/p>\n
Moreno\u2019s case is built on hard numbers. Strategy\u2019s annualized dividend obligations have nearly quadrupled to $1.2 billion in 2026, according to CryptoQuant data. Over the same period, its USD cash reserve, the buffer funding those payments, dropped 38%.<\/p>\n
The stress is visible in STRC, Strategy\u2019s variable-rate preferred stock that was marketed as a stable instrument near its $100 par value. STRC slid to a record low of $82.50 last week, a 17.5% discount to par. That gap tells you the market has started pricing real tail risk into the capital structure.<\/p>\n
Overstretched: Strategy Needs To Stop Buying Bitcoin, Rebuild Its Cash Reserve, And Get More Strategic About Timinghttps:\/\/t.co\/efZhSOuG7a<\/a><\/p>\n \u2014 Julio Moreno (@jjcmoreno) June 23, 2026<\/a><\/p>\n\n \u201cThe company\u2019s strategic priority should be to pause Bitcoin purchases and rebuild its cash reserve,\u201d Moreno said. CryptoQuant\u2019s math shows dividend coverage has collapsed from more than seven years to roughly 14 months. The firm estimates the reserve must reach approximately $2.8 billion, equivalent to 24 months of coverage, before STRC can recover meaningfully.<\/p>\n EXCLUSIVE: Earn $10 USDC Via Binance Sign-Up<\/span><\/a><\/p>\n Michael Saylor and his team did not wait for the CryptoQuant report. The pivot showed up in Strategy\u2019s own weekly purchase disclosures. In the week ending June 22, the company bought just 520 Bitcoin for approximately $35 million, a fraction of its historical pace, while simultaneously raising $335.5 million through common stock sales and routing $300 million of that directly into its USD reserve.<\/p>\n That lifted the reserve to $1.4 billion and pushed the total Bitcoin treasury to 847,363 BTC. The prior week, Strategy had bought 1,587 BTC but still directed most of its fresh capital toward cash. Across both weeks, the company was raising far more than it was spending on Bitcoin.<\/p>\n Strategy has increased its USD Reserve by $300 million to $1.4 billion and plans to continue replenishing it to support the credit quality of its Digital Credit securities. We also acquired 520 BTC for $35 million, increasing our $BTC<\/a> Reserve to \u20bf847,363. $MSTR<\/a> $STRC<\/a>.\u2026<\/p>\nMichael Saylor Had Already Read the Room<\/h2>\n