MicroStrategy (MSTR) is hitting fresh pressure as February unfolds. The stock dropped 7% in early trading, sliding to multi-year lows as Bitcoin tumbled below key support levels. Bitcoin briefly dipped below the company's cost basis, creating a brief paper loss that rattled investor confidence.
Here's the core issue: MicroStrategy just added 855 Bitcoin for $75.3 million between January 26 and February 1, bringing its total holdings to 713,502 BTC. But the timing was rough—the purchases happened right before crypto took a dive. The company's average cost per Bitcoin sits around $76,052, and recent price weakness has narrowed the profit margin considerably.
The real test arrives this week. MSTR reports earnings on February 5, 2026, and this report matters more than usual. Bitcoin gains and losses now flow directly into earnings after accounting changes, meaning every price swing affects reported numbers. Michael Saylor and his team have turned Strategy from a software company into essentially a Bitcoin proxy—so Bitcoin's next moves could mean everything for the stock's trajectory through 2026.