Analysts link the drop to a chain of leveraged liquidations, while unrealized losses tied to Bitcoin purchases via STRC reach about $2.1 billion.
Strategy’s STRC preferred stock has fallen to an all-time low and dropped below par value, a move analysts attribute to a cascade of leveraged liquidations. The decline has also left Bitcoin purchases made through STRC showing about $2.1 billion in unrealized losses. Falling below par can signal mounting pressure in structured or yield-focused instruments, especially when leverage unwinds force holders to sell into weakness. The report frames the selloff as a liquidation-driven dislocation rather than a standalone fundamental event.