Strategy stock plunged 11% on Feb. 25 as Bitcoin slipped below $90,000, raising concerns about a possible liquidation due to the company’s massive Bitcoin exposure.
With 499,096 Bitcoin (BTC) valued at around $44 billion, Strategy is the largest corporate Bitcoin holder, making its financial stability closely tied to the asset’s price movements.
The sharp drop has fueled speculation of a possible forced liquidation. However, in a Feb. 25 X post, capital market analysts The Kobeissi Letter noted that these concerns are exaggerated.
Strategy currently holds $8.2 billion in debt against its ~$44 billion in Bitcoin, maintaining a leverage ratio of around 19%. To lower the risk of an immediate default, the…
