Michael Saylor, executive chairman of one of the largest corporate holders of Bitcoin, has publicly refuted claims that his company sold a significant portion of its digital assets. The denial came after on-chain data sparked rumors of a 47,000 Bitcoin sale, worth approximately $4.6 billion, contributing to market volatility that saw Bitcoin's price dip below $95,000.
In response to the speculation, Saylor stated that his firm is not only holding its position but is actively accelerating its purchasing strategy. The company's stock, however, faced significant pressure, highlighting investor sensitivity to its Bitcoin-centric strategy.
Key Takeaways
- Michael Saylor publicly denied rumors that his company sold 47,000 BTC, labeling the claims as "false."
- The company confirmed it is continuing to accumulate Bitcoin, having added 487 BTC this week.
- On-chain data showing large Bitcoin movements was later attributed to internal custody restructuring, not a sale.
- The company's stock (MSTR) dropped to a one-year low amid the market uncertainty before recovering slightly.
Market Rattled by On-Chain Data
Speculation began swirling on Friday after the crypto analytics platform Arkham flagged a significant decrease in the company's known Bitcoin wallets. The data appeared to show a reduction from 484,000 BTC to 437,000 BTC, a difference of 47,000 coins.
This report quickly gained traction online, coinciding with a sharp downturn in the cryptocurrency market. Bitcoin’s price fell more than 4% within 24 hours, dropping from over $100,000 to below the $95,000 threshold for the first time in six months.
The Source of Confusion
On-chain analysts later clarified the situation, reporting that the company had transferred over 58,000 BTC to new, undisclosed wallet addresses. While not a sale, such large movements are often interpreted by automated trading systems as potential sell-offs, which can trigger and accelerate market downturns. The firm later explained the transfers were part of a routine custody restructuring.
The incident underscores how large-scale wallet movements, even for internal purposes, can create significant market anxiety in a sector that closely monitors on-chain activity for trading signals.
Saylor Mounts a Firm Defense
Michael Saylor moved swiftly to control the narrative. In a post on the social media platform X, he stated there was "no truth" to any suggestions that the firm had reduced its Bitcoin holdings. He reinforced this message during a subsequent television appearance.
"We are buying," Saylor stated emphatically. "We’ll report our next buys on Monday morning."
He further advised investors to maintain a long-term perspective, a core tenet of his company's investment philosophy. "If you’re going to be a Bitcoin investor, you need a four-year time horizon, and you need to be prepared to handle volatility," he added.
Internal company data and public filings appear to support Saylor's statements. The company's official Bitcoin treasury dashboard showed total holdings of 641,692 BTC, consistent with its last disclosure. Filings with the Securities and Exchange Commission also confirmed ongoing Bitcoin purchases throughout early November.
Continued Accumulation
Despite the market turbulence and sale rumors, the company confirmed it had added another 487 BTC to its holdings this week, demonstrating its continued commitment to its accumulation strategy.
Stock Price Falters Under Pressure
While Saylor worked to reassure crypto investors, the company's publicly traded stock (MSTR) felt the immediate impact of the market's uncertainty. Shares fell below $200 in pre-market trading on Friday, marking their lowest point since October 2024.
Investor Sentiment Shifts
A key metric, the company's Net Asset Value (NAV) multiple, briefly fell below 1 for the first time in recent memory. This indicated that, for a short period, the market valued the company at less than the total worth of its Bitcoin reserves. The multiple has since recovered to 1.09.
This event reflects a broader trend of cooling investor sentiment. For years, MSTR has traded at a significant premium, with investors using it as a proxy for Bitcoin exposure. However, according to K33 Research, this equity premium has contracted by $79.2 billion since November 2024. Analysts suggest that while the company raised over $31 billion through share sales, an estimated $48 billion of implied Bitcoin demand from these sales did not convert into actual BTC purchases.
Despite the recent pressure, some analysts remain confident in the company's financial position. Analyst Willy Woo noted that the firm is unlikely to face forced liquidation before 2027, provided its stock price remains above the $183.19 threshold tied to its debt covenants.
A Volatile Macroeconomic Backdrop
The episode occurred during a period of wider turbulence in both digital asset and traditional U.S. markets. Bitcoin had experienced a brief rally above $106,000 after lawmakers reached a deal to end a record 43-day government shutdown.
However, that momentum faded as investor expectations for a potential interest rate cut by the Federal Reserve in December began to diminish. The shifting macroeconomic outlook continues to influence risk assets, including cryptocurrencies.
While the company remains the single largest corporate holder of Bitcoin, its dominance has slightly decreased. Its share of the corporate Bitcoin treasury market has fallen from 75% to 60% as a growing number of other firms have started adding the digital asset to their balance sheets.
