CryptoQuant Founder Suggests Strategy Pause Coin Purchases Until Cash Reserves and Dividend Coverage Recover

BlockBeats News, June 24th, CryptoQuant founder Ki Young Ju stated in a post that the current Bitcoin buying behavior of Strategy resembles more of a liquidity absorber rather than a price catalyst. In the past two years, Bitcoin has seen a market cap increase of $467.0 billion, yet the price has instead dropped by 1%—even with hundreds of billions of dollars flowing in, the turnover continues, but the price has failed to rise. Ki Young Ju believes that in the current environment of significantly increased selling pressure, Strategy's buy orders are more about defending a price range rather than driving a breakout. More critically, continued buying may hinder a market-clearing deep pullback and instead provide liquidity for more holders to take profits. Compared to the collapse, capitulation, weak hands exiting, and whale reaccumulation path in traditional Bitcoin cycles, the current cycle has maintained a wide-ranging sideways movement for almost two years—neither strong enough to confirm a new bull market nor weak enough to trigger a true capitulation. This has resulted in weak hands not being fully cleared out, and strong hands not actively reaccumulating, suggesting that the market may need a thorough reset to build a stronger recovery.

Ki Young Ju presented three suggestions to Saylor:

Suspend Bitcoin purchases until cash reserves and dividend coverage are restored;

Establish a systematic, model-driven buying framework to change the perception of always buying at local tops in the market;

Establish a disciplined selling framework for the next bull market—selling a portion near the peak of the cycle is not betraying Bitcoin but rather deleveraging, realizing shareholder value, and creating an arsenal for reaccumulation at lower prices. This is not trading but risk management.