Strategy’s STRC draws bearish options bets as it falls to new all-time low
Options traders are turning bearish on Strategy’s STRC preferred stock after it hit a record low near $88.51 and closed at $89, about 11% below par. Put open interest exceeds calls, with heavy positioning in lower strikes, and the options setup suggests traders expect more downside and possible volatility. The decline matters because STRC was meant to stay near $100 through monthly dividend adjustments and serves as a key funding tool for Strategy’s Bitcoin purchases. Market participants now question whether the dividend must rise to restore the stock to par, though that would increase cash costs. Strategy says its Bitcoin treasury provides long dividend coverage, but investors are increasingly focused on liquidity, not just asset value. Concerns are spreading across the capital structure, with some traders also linking STRC weakness to pressure on Bitcoin and to the risk of future BTC sales or more common-stock issuance.
