Strategy Anticipates Over $2.8 Billion Loss in Q4 Amid Bitcoin Crash
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
Source: Coinmarketcap
Updated: Jan 02 2026- Bitcoin Volatility Impact: Strategy is expected to report a loss exceeding $2.8 billion in Q4, stemming from a 24% crash in Bitcoin prices, contrasting sharply with the $2.8 billion profit from the previous quarter, highlighting the company's heavy reliance on Bitcoin and its financial vulnerability.
- Accounting Policy Change: The company altered its accounting treatment for Bitcoin in Q1 2024 to market pricing, which makes earnings far more sensitive to price fluctuations, particularly during sharp sell-offs, resulting in a significant anticipated loss.
- Increased Stock Pressure: Strategy's stock fell 48% in 2025, signaling waning investor confidence in its treasury-heavy model, while the company faced pressure to cover future dividend and interest payments, prompting it to raise cash by selling common shares on December 1 to alleviate financial strain.
- Enterprise Value Risk: Strategy's enterprise value stands at approximately $61 billion, close to the value of its Bitcoin holdings, risking a drop below this threshold for the first time in over two years, reflecting market concerns about its future profitability.
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
