Bitcoin declined during Tuesday trading as weaker risk appetite weighed on the market, while hopes faded for an agreement between the United States and Iran to reopen the Strait of Hormuz.
The cryptocurrency faced additional pressure after Strategy, the world’s largest corporate holder of Bitcoin, disclosed that it had sold more of its holdings.
Bitcoin fell 1.7% to $64,026.3 after briefly dropping below the $64,000 level.
Strategy disclosed the sale of 1,690 Bitcoin for a total of $109 million. The company also said it raised an additional $653.1 million through the sale of 6.69 million shares of common stock.
The company used all proceeds from the Bitcoin sale to repurchase 1.15 million shares of its STRC preferred stock.
This marked Strategy’s fifth Bitcoin sale this year as the company seeks to secure liquidity to meet rising debt obligations and dividend commitments.
Following the latest transaction, Strategy held 840,447 Bitcoin. The company has financed the accumulation of its large Bitcoin position mainly through debt and preferred stock issuances.
Elsewhere, Bitcoin mining company Riot disclosed a $9 billion agreement with a leading artificial intelligence laboratory to provide computing capacity.
Later reports identified the laboratory as Anthropic, sending Riot shares up about 25% in after hours trading.
The agreement with Anthropic is expected to run for 20 years and largely overshadowed Riot’s significant second quarter loss, as lower Bitcoin prices weighed on mining margins.
The company had previously revealed plans to shift part of its business from Bitcoin mining toward providing computing capacity for artificial intelligence applications.
Cryptocurrency prices broadly declined during Tuesday trading, following Bitcoin lower as optimism faded over a possible agreement to reopen the Strait of Hormuz after the United States and Iran presented conflicting positions on a potential deal.
Ethereum, the second largest cryptocurrency by market capitalization, fell 2.8% to $1,873.81, while XRP declined 2.6%.
Solana and Cardano dropped 1.5% and 5.2%, respectively, while BNB fell 0.7%.
Among meme coins, Dogecoin was little changed, while TRUMP gained 0.9%.
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