Strategy has become one of the largest bitcoin holding and purchasing companies, with 847,363 BTC on its balance sheet. Its aggressive accumulation strategy has made the company a major source of demand for the cryptocurrency, meaning that any shift toward selling the digital asset, even occasionally, could influence market liquidity, price dynamics, and investor sentiment by introducing a new source of supply.
Demand for U.S. spot bitcoin exchange-traded funds (ETFs), the largest source of institutional cryptocurrency buying since their debut in 2024, has weakened sharply in recent months. The funds posted a record $4 billion in net outflows in June after a 13-day redemption streak pushed year-to-date flows into negative territory for the first time.
The bank said Bitcoin came under pressure in late May and early June after Strategy revealed in a June 1 regulatory filing that it sold 32 BTC between May 26 and May 31 to fund dividend payments. The selling compounded pressure from a broader revision to the Federal Reserve’s interest rate expectations that had already weighed on bitcoin and gold.
JPMorgan noted that Michael Saylor’s strategy has become one of the largest buyers of bitcoin, purchasing approximately $13.7 billion in cryptocurrency so far this year, about 70% of the bank’s estimate for total net digital asset inflows. The company holds about 4% of the total bitcoin supply.
