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<a href="https://bbg-news.com/btc-usd/">Bitcoin</a> and MSTR fall as Saylor points to a bigger AI shift

Bitcoin’s price has dropped significantly, officially entering what’s known as a bear market. However, Michael Saylor believes this isn’t due to people losing faith in Bitcoin, but rather a shift of investments into the growing field of artificial intelligence.

Summary

  • Bitcoin fell into bear-market territory after dropping 22.7% from its four-week high.
  • Michael Saylor said that AI infrastructure funding caused capital to rotate away from Bitcoin ETFs.
  • The strategy’s small Bitcoin sale raised concern because the company had not sold BTC since 2022.

Michael Saylor, Executive Chairman of Strategy, noted on X (formerly Twitter) that over the last six months, around $400 billion has been invested in infrastructure for artificial intelligence. In contrast, Bitcoin ETFs have seen about $4 billion withdrawn since May 14th. While these withdrawals are putting downward pressure on Bitcoin’s price, Saylor believes this is simply a shift in investment focus, not a sign of Bitcoin losing value.

Investors are pouring unprecedented amounts of money – around $400 billion in the last six months – into developing artificial intelligence. Meanwhile, Bitcoin ETFs have experienced about $4 billion in withdrawals since mid-May, putting downward pressure on Bitcoin’s price. This isn’t a sign that people are losing faith in Bitcoin itself, but rather a shift of investment from Bitcoin into AI. Market fluctuations like these often create new opportunities for investors.

— Michael Saylor (@saylor) June 4, 2026

Bitcoin’s price fell sharply overnight, dropping to as low as $61,400 before recovering slightly to around $62,400 on Thursday morning. Over the last 24 hours, the cryptocurrency has lost 7% of its value, and it’s down more than 14% over the past week. This recent drop means Bitcoin is now 22.7% below its highest price in the last four weeks. The decline has also wiped out over $600 billion from the total value of the cryptocurrency market.

Saylor links Bitcoin pressure to AI spending

Saylor explained the recent sales as a strategic shift to invest in the infrastructure needed for artificial intelligence. Experts predict that large data centers will spend over $600 billion in 2026, with around $450 billion of that total specifically going towards AI-related hardware like servers and networking equipment.

Saylor believes the recent drop in Bitcoin’s price doesn’t weaken the long-term reasons to invest in it. He points out that price swings can actually create buying opportunities, and that recent selling pressure is likely due to institutions shifting funds towards the booming field of artificial intelligence.

His comments also raised eyebrows because Strategy had recently sold some of its Bitcoin.

Strategy’s Bitcoin sale draws market attention

Strategy revealed in a recent filing that it sold 32 Bitcoin between May 26th and May 31st, averaging $77,135 per Bitcoin. This sale generated $2.5 million in net proceeds, which will be used to pay dividends on its STRC preferred stock.

The recent sale represented a small portion of Strategy’s overall bitcoin holdings. Strategy remains the largest corporate owner of bitcoin, currently holding 843,706 BTC, which is worth approximately $61 billion according to the report.

According to analysts, the sale impacted how investors felt about the market because Strategy hadn’t sold any Bitcoin since late 2022. Michael Saylor had built a public image of consistently buying Bitcoin, which had become a key part of the company’s brand. This sale gave traders who were betting on a price decrease a new reason to sell off their holdings.

Balance sheet moves came before the decline

A week before the sale, Strategy shifted its financial priorities. The company bought back $1.5 billion worth of its convertible notes (due in 2029) using approximately $1.38 billion in cash.

Strategy lowered its debt by approximately $120 million and significantly reduced its convertible debt, from $8.2 billion to $6.7 billion. Following the transaction, the company has a cash reserve of $871 million.

Strategy previously held 843,738 Bitcoin and intended to strengthen its financial reserves through future investments. The recent drop in Bitcoin’s price also negatively impacted Strategy’s stock, which has fallen almost 15% in the last five trading days. Although Michael Saylor believes the price dip is temporary, due to money moving into AI investments, Strategy’s decision to sell even a small portion of its Bitcoin holdings has created uncertainty in the market.

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2026-06-04 20:23