Woofun AI notes that Bitwise CIO Matt Hougan assesses Strategy's current holdings of approximately $49.6 billion in Bitcoin and $2.6 billion in cash as posing no liquidation risk. The firm's new digital credit framework enables flexible Bitcoin sales for dividends, removing the obligation to maintain STRC at a $100 par value.

Hougan states that Strategy's era as the primary source of one-way demand is likely concluding. While the company may still act as a net buyer if prices rebound, its overall importance in the upcoming cycle will be lower. He characterizes current STRC volatility as market deleveraging, suggesting a new bull market could emerge this fall.