hodler

1 Jun 2026, 23:05

Strategy Sells 32 BTC to Fund STRC Preferred Stock Dividends

BitcoinWorld Strategy Sells 32 BTC to Fund STRC Preferred Stock Dividends Strategy (MSTR) has sold 32 Bitcoin to fund dividend payments for its STRC preferred stock, the company confirmed in a recent filing. The move comes as the firm continues to balance its cryptocurrency holdings with obligations to its preferred shareholders. Details of the Transaction Alongside the Bitcoin sale, Strategy raised approximately $128.3 million by selling 801,994 shares of its common stock. As of May 31, the company holds 843,706 BTC, maintaining its position as one of the largest corporate Bitcoin holders globally. The STRC preferred stock is a product designed to pay holders a monthly variable dividend targeting an 11.5% annual yield. The dividend rate adjusts based on the stock’s trading price relative to its $100 par value: it decreases if STRC trades above $100 and increases if it falls below. These payments are made from Strategy’s cash reserves. How STRC Works STRC operates under a specific mechanism. The company only uses funds raised when the stock trades above its $100 par value to purchase additional Bitcoin. When STRC trades below that threshold, as it did last week, the firm relies on its cash reserves to meet dividend obligations. This structure creates a direct link between the preferred stock’s market performance and Strategy’s Bitcoin acquisition strategy. Implications for Investors For investors, this transaction highlights the interplay between Strategy’s core Bitcoin holdings and its financial engineering through preferred stock. The sale of 32 BTC, while modest relative to the company’s total holdings, underscores the ongoing cost of maintaining the STRC dividend. The $128.3 million common stock raise provides additional liquidity, which could be used for further Bitcoin purchases or general corporate purposes. The company’s ability to continue funding dividends without significantly reducing its Bitcoin position is a key factor for shareholders monitoring the firm’s long-term strategy. The 843,706 BTC held as of May 31 represents a substantial asset base, but the monthly dividend obligations require careful cash management. Market Context Strategy’s approach combines aggressive Bitcoin accumulation with structured financial products like STRC. This dual strategy has attracted both cryptocurrency bulls and income-focused investors. The recent transaction demonstrates the practical challenges of maintaining such a model, particularly when market conditions affect the preferred stock’s trading price. The broader cryptocurrency market has seen volatility in recent weeks, with Bitcoin prices fluctuating. Strategy’s ability to navigate these conditions while meeting its financial commitments will remain a point of interest for market observers. Conclusion Strategy’s sale of 32 BTC to fund STRC dividends, paired with a $128.3 million common stock raise, reflects the ongoing management of its unique capital structure. With 843,706 BTC on its balance sheet, the company continues to balance its cryptocurrency strategy with the demands of its preferred shareholders. Investors should monitor STRC’s trading price and the company’s cash reserves as key indicators of future dividend sustainability. FAQs Q1: Why did Strategy sell Bitcoin to pay dividends? Strategy sold 32 BTC to fund monthly dividend payments for its STRC preferred stock because the stock was trading below its $100 par value, triggering the company to use cash reserves rather than funds raised from stock sales. Q2: How much Bitcoin does Strategy currently hold? As of May 31, Strategy holds 843,706 BTC, making it one of the largest corporate Bitcoin holders in the world. Q3: What is the STRC preferred stock dividend rate? STRC targets an 11.5% annual yield, paid monthly as a variable dividend. The rate adjusts based on the stock’s trading price relative to its $100 par value. This post Strategy Sells 32 BTC to Fund STRC Preferred Stock Dividends first appeared on BitcoinWorld .

1 Jun 2026, 23:00

Chainlink Sends A Rare Signal As 66% Of Exchange Supply Sits On Binance

Chainlink is struggling below $10 as selling pressure and broader market uncertainty keep the price pinned beneath a resistance level that has capped every recovery attempt in recent weeks. The price action is frustrating — but data from analyst MorenoDV has identified a structural development in the exchange flow data that reframes what the current weakness is actually occurring against. Related Reading: Ethereum Flashes A Rare Signal As Open Interest Reaches Highest Level Since 2019 Binance currently custodies approximately 85.1 million LINK worth roughly $766 million — representing 66.4% of the 128.26 million LINK held across all exchanges combined. That concentration is the first structural fact that changes how any Binance-specific LINK flow data should be interpreted. When two-thirds of all exchange-held LINK sits on a single venue, extreme netflow days on that venue are not reflecting broad market behavior. They are Binance-specific imbalances that effectively set the supply tone for the entire LINK market. The reserve chart that MorenoDV examines tells a clean and directional story across a multi-year timeframe. Since the 2022 to 2023 peaks when Binance reserves approached 145 million LINK, the holdings have tracked a well-defined descending channel and now sit near the lower boundary at approximately 85 million. The intermittent upward spikes visible in the data are real but temporary — bursts rather than trend reversals. The dominant behavioral pattern across the entire period is coins leaving the platform. The netflow data confirms the mechanism behind that structural decline — and what it reveals about who is moving LINK and why changes the interpretation of the current price weakness considerably. Inflow Spikes Are Noise The MorenoDV analysis draws the distinction that prevents the intermittent inflow bursts from being misread as accumulation events. Positive netflow spikes in LINK’s Binance data cluster around volatile periods — moments when price is already moving. And the pattern that follows them is more consistent with sell pressure arriving than with genuine buying conviction building. Chainlink Exchange Netflow on Binance | Source: CryptoQuant Inflow-heavy spikes have more frequently been followed by weaker closes over the subsequent one to three days than by price strength. The behavioral interpretation is straightforward: deposits arriving ahead of sell pressure or redistribution activity rather than reflecting holders moving coins onto the exchange to buy more. The timing of inflows relative to price weakness confirms the direction of intent more often than not. The critical distinction the analysis establishes is between inflow activity and accumulation. LINK is frequently deposited to Binance and then withdrawn shortly after. Moving to self-custody wallets or rival venues rather than converting into exchange selling. The result is a pattern of short-term inflow noise sitting above a reserve line that keeps drifting structurally lower. Regardless of the temporary spikes that periodically interrupt the trend. The structural decline on Binance is not being driven by any single event or any cluster of inflow bursts. It is the cumulative expression of a market where the dominant behavior — coins leaving Binance permanently — has persisted through every temporary inflow spike without reversing the underlying direction. That persistent structural outflow is the signal. Everything else is noise sitting on top of it. Related Reading: Uniswap Price Slides As Binance Absorbs Millions Of Tokens – Traders Are Watching Chainlink Stuck At Critical Long-Term Support On the weekly timeframe, Chainlink remains trapped in a prolonged downtrend that has defined most of the price action since the late-2024 highs near $30. LINK currently trades around $9, a level that has repeatedly acted as a major support zone throughout 2025 and 2026. While sellers continue to dominate the broader structure, the chart suggests that bears are struggling to force a decisive breakdown below this area. Chainlink consolidates around long-term support level | Source: LINKUSDT chart on TradingView The most notable feature is the compression taking place around the $8.50–$9.50 range. After the sharp decline from the $25 region, LINK has spent several months building a base above support rather than continuing lower. This behavior often reflects a period of equilibrium between long-term buyers and sellers as the market searches for direction. Related Reading: HYPE Whale Bets Grow Larger As Institutional-Linked Accumulation Reaches $170M However, the trend remains technically bearish. LINK trades below the 50-week, 100-week, and 200-week moving averages, all of which continue to slope downward. The 50-week moving average near $14 and the 100-week moving average around $15.5 now represent major resistance levels that bulls must reclaim to confirm a structural trend reversal. For now, $8.50 remains the key support to watch. Holding this level keeps the possibility of a long-term accumulation range intact. While a breakdown could expose the 2023 consolidation region between $6 and $7. Reclaiming $10.50 would be the first signal that buyers are regaining control. Featured image from ChatGPT, chart from TradingView.com

1 Jun 2026, 23:00

Why altcoin season remains elusive – The divergence traders can’t ignore

Altcoins are rallying against Bitcoin, yet Ethereum’s sluggish DeFi flows point to a market still lacking widespread risk appetite.

1 Jun 2026, 23:00

Bloomberg Strategist Warns Bitcoin Could Drop to $10,000, But ETF Demand May Limit Losses

BitcoinWorld Bloomberg Strategist Warns Bitcoin Could Drop to $10,000, But ETF Demand May Limit Losses Mike McGlone, a senior macro strategist at Bloomberg Intelligence, has issued a stark warning that Bitcoin could fall to around $10,000 — its long-term average — as the crypto market shows signs of a broad correction. His analysis points to a breakdown in the correlation between cryptocurrencies and equities, a development that typically signals underlying weakness in digital assets. Key Bearish Signals McGlone noted that in late May, the crypto market diverged from traditional stocks. While the S&P 500 reached a new all-time high, Bitcoin and other major cryptocurrencies failed to follow suit, suggesting a loss of momentum. Another bearish indicator he cited is the Bloomberg Galaxy Crypto Index (BGCI), which has fallen below the 2,000 mark — roughly half its peak in 2025. According to McGlone, the market is now in a broad “bubble-deflating phase.” He draws parallels to the 2018 correction, when Bitcoin lost more than 80% of its value after a similar period of exuberance. A drop to $10,000 would represent a decline of roughly 85% from Bitcoin’s all-time high near $69,000. Counterargument: Spot ETF Demand Despite the bearish outlook, some industry analysts argue that a crash to $10,000 is unlikely. They point to the strong and sustained demand from spot Bitcoin ETFs launched by major asset managers such as BlackRock and Fidelity. These ETFs have attracted billions of dollars in inflows since their approval, creating a new and significant source of buying pressure that did not exist during the 2018 downturn. Proponents of this view argue that institutional demand provides a price floor that could prevent Bitcoin from revisiting its long-term average. The ETFs have also broadened the investor base, bringing in pension funds, endowments, and other long-term holders who are less likely to panic sell during market downturns. McGlone’s Previous Predictions This is not the first time McGlone has forecast a drop to $10,000. He made similar predictions in February and April of this year, though Bitcoin has not yet reached that level. The repeated nature of his warnings has led some critics to question the timing of his forecasts, though he maintains that the underlying market dynamics remain fragile. McGlone also identified a recovery to $75,000 as a key turning point. If Bitcoin can reclaim that level, it would signal renewed bullish momentum and potentially invalidate the bearish thesis. Until then, he expects continued downside pressure. Why This Matters For investors, the divergence between crypto and equities is a critical signal. Historically, Bitcoin has traded in tandem with risk assets like tech stocks. When that correlation breaks down, it often indicates that the crypto market is facing unique headwinds — such as regulatory uncertainty, declining network activity, or waning retail interest. For the broader financial ecosystem, a sustained Bitcoin decline could impact the profitability of mining companies, reduce trading volumes on exchanges, and slow the pace of institutional adoption. However, the presence of spot ETFs provides a structural support that may cushion the fall. Conclusion While Mike McGlone’s bearish forecast for Bitcoin is grounded in historical patterns and current market data, the emergence of spot Bitcoin ETFs introduces a new variable that could alter the trajectory. Investors should weigh both the technical warning signs and the structural demand from institutional products. The $75,000 level remains a critical threshold to watch for any sign of recovery. FAQs Q1: Why does Mike McGlone think Bitcoin could fall to $10,000? He points to the breakdown in correlation between crypto and stocks, the decline of the Bloomberg Galaxy Crypto Index below 2,000, and historical patterns similar to the 2018 correction. Q2: What is the counterargument to a Bitcoin crash? Industry analysts cite strong demand from spot Bitcoin ETFs by BlackRock and Fidelity, which provide a new source of institutional buying pressure that could prevent a severe drop. Q3: What price level would signal a recovery for Bitcoin? McGlone identifies $75,000 as a key turning point. If Bitcoin reclaims that level, it could indicate renewed bullish momentum. This post Bloomberg Strategist Warns Bitcoin Could Drop to $10,000, But ETF Demand May Limit Losses first appeared on BitcoinWorld .

1 Jun 2026, 22:54

Bitcoin bulls eye fresh positions after BTC price drops under $71K

Selling from all angles pushed Bitcoin below $71,000 at the weekly open, but early bullish positioning in BTC derivatives may signal the start of a recovery.

1 Jun 2026, 22:41

Vitalik Buterin pitches options-based DeFi to replace liquidations and CDPs

Ethereum co-founder Vitalik Buterin has published a proposal on Ethereum Research and X, detailing a plan to rebuild synthetic assets in decentralized finance around options contracts. This is considered a move away from the debt-and-liquidation model that most algorithmic stablecoins and perpetual futures are being used for today. What does Vitalik’s DeFi proposal change? The current DeFi synthetics work through collateralized debt positions (CDPs) whereby a user locks ETH, borrows a synthetic dollar, and faces forced liquidation if the collateral’s value drops below a threshold. This liquidation depends on a real-time price oracle firing accurately under stress, according to the Ethereum Research post. Buterin says this dependency is the main vulnerability of the model, as real-time oracles can only rely on a small number of automated actors watching live price feeds. They leave no room for dispute resolution, recourse, or the kind of slow-but-secure verification that prediction markets already use, he wrote. Why does Vitaalik want slow oracles instead of fast ones? One of the design’s trade-offs, as Vitalik mentioned, is that it removes the need for instantaneous price feeds. Oracles only need to report a value at maturity, which could be weeks or months away. However, that delay opens the door to verification methods that are impractical in real time, including prediction-market-style dispute resolution where a slow but secure backstop oracle settles disagreements. In April, Buterin called for a “median-of-3 independent sources” as a mandatory settlement mechanism for prediction markets after a Polymarket trader allegedly earned $34,000 by manipulating a Paris weather sensor with a hair dryer. He described single-source oracles as an unacceptable centralization risk for markets with hundreds of millions of dollars at stake. In May, he went further, calling oracle quality “the biggest issue facing” prediction markets and advocating for decentralized oracles with private voting to resist manipulation, as Cryptopolitan reported at the time. How will users hold synthetic dollars? The options framework shifts rebalancing responsibility from an automated protocol to individual users. A user wanting USD exposure would buy deep in-the-money P tokens with strike prices far below the current ETH price. As ETH’s price moves closer to the strike, the user rotates into options with lower strikes, the Ethereum Research post explains. According to Buterin, with liquidation-based synthetics, normal conditions feel stable until a sudden forced exit wipes out a position; however, with options-based synthetics, extreme price moves create a gradual, quadratic deviation from the target exposure rather than a binary wipeout. The user retains control over when and how to adjust. The proposal acknowledges that the design is identical to scalar prediction markets, which is a format that already exists and has traded for years. That overlap means options-based synthetics could share oracle infrastructure with prediction market platforms, increasing security for both. What does this mean for the broader DeFi ecosystem? The proposal comes as Buterin continues to push prediction markets toward what he considers more socially useful applications. In a February post on X, he warned that platforms were “over-converging to an unhealthy product market fit” by chasing short-term crypto price bets and sports gambling for revenue. He called the trend “corposlop” and also stated that the sector should pivot toward generalized hedging, where both sides of a trade benefit long-term. That hedging vision is connected to the options framework published on June 1. If prediction markets and DeFi synthetics share the same oracle and settlement layer, users could hedge personalized baskets of real-world expenses instead of just tracking a single dollar peg. If you're reading this, you’re already ahead. Stay there with our newsletter .