Axel Adler: Strategy Faces Four Major Pressures, No Systemic Risk for Now

According to Axel Adler, a CryptoQuant analyst, who released the weekly market analysis report, Strategy is facing four major pressures: Bitcoin breaking below its average cost line; a decline in the financing capability of preferred shares STRC; selling Bitcoin, which disrupts the "buy-only, no-sell" narrative; and dilution pressure brought by stock issuance. Axel Adler believes that Strategy’s impact on the Bitcoin market is slightly negative-neutral and does not constitute a systemic risk. In the short term, there is no block requiring large-scale Bitcoin selling. Holding shares in Strategy is not equivalent to holding Bitcoin; there is no BTC redemption right, nor is there a subscription and redemption mechanism similar to spot ETFs. If Bitcoin rebounds above the average cost, and the market again allows issuing shares and preferred shares at lower costs, Strategy may restart the "Bitcoin flywheel."