After Bitcoin retreated to around $62,000, Strategy-related securities, which hold a significant amount of Bitcoin, also came under pressure. On June 18, the company's STRC preferred stock fell to $85, a new intraday low. The market linked this decline to higher-than-expected US inflation, the Federal Reserve keeping interest rates unchanged, and the earlier surge in oil prices due to the Middle East situation.
Strategy holdings are correlated with BTC.
Strategy is one of the publicly traded companies holding the largest amount of Bitcoin. According to data on the company's website, it currently holds 846,842 BTC, worth approximately $52.94 billion at the market price mentioned in the article. Because the company's balance sheet is highly sensitive to Bitcoin prices, a drop in BTC often amplifies the market's volatility in its stock and related securities.
The article mentions that Bitcoin reached a high of $126,080 in October 2025, driven by factors including continued corporate spending and increased ETF inflows. However, market risk appetite subsequently declined, and some funds withdrew from crypto assets, preventing the rally from continuing.
Interest rates and oil prices are suppressing the market.
The report suggests that the current market pressure is related to changes in the macroeconomic environment. Following the higher-than-expected US Consumer Price Index, the Federal Reserve chose to maintain interest rates, putting continued pressure on high-risk assets. Meanwhile, the conflict between the US and Iran, and the temporary closure of the Strait of Hormuz, also pushed up oil prices and inflation expectations.
Against this backdrop, Bitcoin underwent further correction, and Strategy-related securities weakened accordingly. For assets reliant on liquidity and risk appetite, persistently high interest rates typically mean higher financing costs and more cautious asset allocation.
Markets are turning their attention to expectations of interest rate cuts.
The report also noted that oil prices have fallen after the US and Iran signed a peace agreement and the Strait of Hormuz reopened. If inflation subsequently cools, market expectations for a Federal Reserve rate cut may rise again, which typically improves the trading environment for high-risk assets.
According to another report citing SkyBridge Capital founder Anthony Scaramucci, some market participants believe Bitcoin may have reached a temporary low point in this cycle. He stated that Bitcoin is still within a four-year cycle and expects it to potentially return above $70,000 in July.
