On February 24, Strategy announced an additional $40 million investment in Bitcoin, despite the current market outlook being quite pessimistic about Bitcoin’s price. The company currently holds Bitcoin worth $55 billion, with an average cost of about $76,020. At the current Bitcoin price of $63,000, this results in an unrealized loss of nearly $10 billion. Executive Chairman Michael Saylor stated that the company employs a dollar-cost averaging strategy and is not concerned about short-term price fluctuations.
Recently, Bitcoin has experienced a decline due to geopolitical tensions, economic uncertainties triggered by AI development, and policy changes under the Trump administration. Matt Howells-Barby, Vice President of Growth at CEX, indicated that Bitcoin could potentially fall to $50,000 in the short term. Data from DefiLlama shows that in February, investors sold over $1 billion worth of Bitcoin ETFs, bringing the total ETF decline since November last year to $7 billion. According to CF Benchmark, major hedge funds reduced their Bitcoin ETF holdings by 28% between the third and fourth quarters.
In addition to trade tensions, Citrini Research’s release of the “Global AI Crisis 2028” report has caused market turbulence. The report warns that AI development could lead to large-scale white-collar layoffs, weakening consumer spending and slowing economic growth. Following the report’s release, the stock market declined, with the Dow Jones dropping over 800 points in a single day, and IBM’s stock price experiencing its largest single-day drop in 25 years. Technology ETFs fell by 24% overall, and the S&P 500 could potentially plummet by 38% under certain scenarios.
However, some analysts believe that the impact of AI on employment may ultimately benefit Bitcoin. Maelstrom’s Chief Investment Officer Arthur Hayes pointed out that rising unemployment could increase debt pressures, forcing the Federal Reserve to adopt looser monetary policies, which could create an upward price movement for Bitcoin.
Market sentiment remains complex and volatile. Strategy’s increased Bitcoin holdings indicate that institutions are still positioning for long-term value, but whether prices will rebound to $50,000 will depend on the combined effects of geopolitical developments, AI advancements, and macroeconomic policies.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Bitcoin Developers Release Major Update on Testnet, What Changed? - U.Today
Bitcoin developers have released v31.0rc4 for testing, introducing enhanced privacy through Tor and I2P networks, improved mempool design, fee efficiency, and performance upgrades. This update aims to optimize transaction management and protect user anonymity.
UToday27m ago
U.S.-Iran talks: after 21 hours, no agreement reached. Vance says he has proposed a “final proposal”; Iran refuses a nuclear weapons commitment.
The U.S. vice president, Vance, did not reach an agreement in the US-Iran negotiations held in Islamabad. The core dispute is that Iran refused the U.S. demand for a nuclear weapons commitment. The breakdown of the talks has increased geopolitical risk, affecting financial markets—especially crude oil and Bitcoin prices. Even though the negotiations were unsuccessful, both sides may still continue discussions, and the market will watch for further developments.
ChainNewsAbmedia1h ago
Famed trader “Maji” ends 13 straight wins, closing a Bitcoin long position at a loss of $192k
Gate News, April 12. Lookonchain monitoring shows that the well-known trader “Maji” saw their 13-win streak come to an end. Due to the market downturn, they just closed a Bitcoin long position, incurring a loss of about $192k.
GateNews2h ago
BTC 15-minute drop of 1.75%: Derivatives liquidity deterioration and capital withdrawals in sync weigh on prices
From 01:30 to 01:45 (UTC) on 2026-04-12, the BTC price saw significant volatility within the 71,560.0–73,017.1 USDT range. The candlestick return rate recorded -1.75%, and the amplitude reached 2.00%. During this period, market attention increased, the trading atmosphere clearly became more cautious, and heightened volatility triggered short-term capital vigilance.
The primary driving force behind this unusual move is the continued deterioration of liquidity in the derivatives market: CME futures open interest fell to a 14-month low, and institutional arbitrage capital accelerated its withdrawal. Futures trading volume trended lower over the long run, and arbitrage basis compression caused the market to deepen in…
GateNews3h ago
Morgan Stanley is considering launching tokenized money market funds, exploring crypto asset tax and lending services
Morgan Stanley’s head of digital asset strategy, Amy Oldenburg, said the firm will treat tokenized money market funds as a future direction, while also considering tax-loss harvesting services and Bitcoin-related products. The firm has filed ETF applications for Ethereum and Solana, and manages $9.3 trillion in client assets.
GateNews3h ago
Bitcoin ETFs Acquire 3,350 BTC in $240M Inflow
Spot ETFs tied to Bitcoin saw a significant inflow of $240 million, indicating strong institutional demand and reflecting a trend of consistent accumulation. With over 721,000 BTC held by ETFs, supply pressure is rising, fundamentally supporting Bitcoin's integration into traditional finance.
Coinfomania3h ago
