Strategy skips planned BTC buy as XRP nears $1.44 liquidation risk
Michael Saylor’s Strategy (MSTR) did not announce its usual weekly Bitcoin (BTC) purchase during the Asian New Year market lull, despite expectations it could buy up to ~1,459–1,600 BTC after raising capital via STRC preferred share sales. STRC dipped below $100, halting further preferred issuance and leaving it unclear whether Strategy will make a buy later in the week or preserve funds as cash reserves. The skip came amid extreme market fear (BTC Fear & Greed Index ~12) and after Strategy bought 1,142 BTC the prior week. Meanwhile, XRP faces concentrated liquidation risk: open interest sits just under $1B, and more than $62M in liquidations would occur if XRP falls to about $1.44 (it was trading around $1.49). XRP remains heavily traded in South Korea and is among the most shorted altcoins; Standard Chartered cut its year-end price forecast to $2.80 from $8. Weakness across altcoins (SOL, TRX, DOGE, HYPE) and low volumes during holidays may amplify downside pressure and market volatility. Key takeaways for traders: Strategy’s paused buying removes a predictable source of BTC demand, potentially raising short-term downside risk for BTC; XRP’s concentrated open interest and proximity to critical liquidation levels increase the chance of abrupt price moves; low Asian holiday liquidity can exacerbate volatility and widen spreads. Keywords: Bitcoin buy pause, Strategy MSTR, STRC preferred, BTC purchase skip, XRP liquidation risk, open interest, Asian New Year liquidity.
Bearish
The immediate market impact is bearish. Strategy’s unexpected pause of weekly BTC buys removes a recurring, predictable source of demand that had been supporting BTC price during dips; with BTC trading under $70k and the market in extreme fear, absence of that buying increases short-term downside risk. Low volumes from Asian New Year holidays reduce liquidity, which magnifies price moves and can widen spreads, making short squeezes or liquidations more violent. XRP’s situation compounds bearishness: high open interest (~$1B), concentrated trading (notably South Korea), and over $62M of potential liquidations at ~ $1.44 mean a relatively small move could trigger outsized forced selling, spilling into broader altcoin and BTC markets. Historical parallels: prior periods when institutional or large buyers paused accumulation (or reduced buy programs) have led to pullbacks until new demand emerged (e.g., pauses in corporate treasury buying have coincided with short-term BTC weakness). Similarly, episodes of concentrated derivatives open interest near key levels (e.g., 2021–2022 liquidations) produced sharp, rapid declines. In sum, traders should expect elevated volatility and downside bias in the short term; longer-term impact depends on whether Strategy resumes regular buys and whether macro/institutional demand returns. Risk management actions: tighten stops, reduce leverage, monitor STRC issuance updates, watch XRP open interest and key liquidation thresholds, and track Asian market volumes for liquidity shifts.