Bitcoin Defies Six-Month Trend, Surges Past Strategy's Ex-Dividend Date Slump

For the first time in six months, Bitcoin has risen in the week following the ex-dividend date of Strategy's perpetual preferred stock, STRC, which took place on April 15. With Bitcoin now trading at $79,000, up from $75,000 at the time of the ex-dividend date, this marks a significant turning point. STRC has been utilized as an aggressive funding instrument for the company's Bitcoin purchases over the past few months. Typically, STRC declines on its ex-dividend date by the value of the payout, as new buyers are no longer entitled to receive it, but it tends to recover gradually over two weeks, returning to its $100 par value. Currently, STRC is trading at $99.47. This recovery is crucial, as once the stock returns to par, Strategy, the largest publicly traded company holding Bitcoin, can utilize its at-the-market program to issue new shares and use the proceeds to buy additional Bitcoin. Strategy shares have surged over 9% to $178, with the company likely using its common stock ATM program to fund additional Bitcoin purchases. The company recently disclosed its third-largest Bitcoin purchase of 34,164 BTC, and while the price initially remained within its $75,000 range, the Bitcoin rally appears to be driven in part by positioning, with perpetual futures funding rates remaining negative, indicating that bearish sentiment still dominates. As prices rise, shorts are forced to close positions, creating a short squeeze that accelerates gains. Additionally, a persistent Coinbase premium, where Bitcoin trades slightly higher on the US exchange than offshore platforms, points to steady spot demand.