Bitcoin (COIN:BTCUSD) moved lower on Monday, adding to a prolonged downturn that has now stretched into a fourth straight week, as persistent uncertainty over U.S. interest rate policy continued to weigh on demand for high-risk assets.
The leading cryptocurrency slipped after briefly reclaiming the $70,000 level over the weekend. By 00:58 ET, Bitcoin was down 2.7% at $68,409.7.
Strategy says balance sheet resilient even in sharp downturn
Strategy (NASDAQ:MSTR) — the largest corporate owner of Bitcoin — said Sunday it remains confident in its ability to service its debt even under a severe price correction.
In a social media update, the company stated it can “withstand a drawdown in $BTC price to $8K and still have sufficient assets to fully cover our debt.”
Strategy currently holds 714,644 Bitcoin, financed through a mix of equity issuance and long-term borrowing. Led by outspoken Bitcoin supporter Michael Saylor, the company has continued accumulating the cryptocurrency despite the recent pullback.
Bitcoin has now surrendered roughly half of its value since reaching a record peak near $126,000 in October. The token has been at the center of broader selling pressure in speculative markets, as shifting expectations around Federal Reserve policy have prompted investors to dial back risk exposure.
The sustained slide has fueled speculation that Strategy could eventually face pressure to offload part of its holdings to meet liabilities — a scenario Saylor has repeatedly dismissed.
Earlier this month, Strategy reported a $12.4 billion loss for the December quarter, sharply wider than the $670.8 million loss posted a year earlier. Outside of its substantial Bitcoin position, the company generates relatively modest operating income.
Altcoins mirror Bitcoin weakness
The wider crypto market also trended lower, tracking Bitcoin’s ongoing retreat.
Ether, the second-largest cryptocurrency, fell 6.1% to $1,958.63, while XRP dropped 7.7% to $1.4575.
BNB declined about 4%, with Solana and Cardano losing 5.4% and 6.2%, respectively.
Among meme tokens, Dogecoin slumped 11.4%, while $TRUMP shed 2.4%.
Sentiment across digital assets has remained fragile since October, with both retail and institutional inflows slowing significantly. At the same time, a rally in gold prices and stronger interest in physical safe-haven assets have diverted capital away from cryptocurrencies.
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