MicroStrategy Bitcoin Sale Pulls Crypto Market Down

MicroStrategy’s first Bitcoin sale since 2022 triggered broad selling across crypto markets, pushing the total market cap down roughly 1.6%, or about $38.42 billion. The market cap briefly touched $2.38 trillion. Bitcoin traded near $70,914 while Stellar’s XLM fell about 11%, the steepest decline among large-cap tokens.

The company sold Bitcoin earlier in the session, and trading data show a rapid rise in sell volume around the time of the disposal. Bitcoin registered the largest immediate decline, and several exchanges reported higher sell orders as the sale took place.

Bitcoin has traded inside an ascending channel that began in late February. The channel’s lower trendline sits near $68,725; a daily close below that level would expose a path toward about $64,891. A daily close above $71,735 and then $73,849 would mark a move back toward prior intra-day highs.

Measured from the late-March swing low near $2.23 trillion, the broader crypto market remained in an uptrend by some metrics. A close below $2.38 trillion would leave the market vulnerable to a drop toward $2.23 trillion, while a sustained hold above $2.38 trillion would allow targets around $2.49 trillion, $2.62 trillion and $2.68 trillion to be pursued.

Stellar’s XLM traded near $0.23 after a rally that lifted the token roughly 113% from late May to a peak near $0.29 on May 30. That rally occurred on relatively low volume. XLM now sits in a flag-like consolidation; a decline under $0.22 would invalidate the pattern and risk erasing much of the month’s gains. Moves above $0.25 and $0.28 would signal resumed upward momentum.

On prediction markets, Polymarket faced trader backlash over a proposed “No” resolution tied to whether disclosure timing or event timing determines outcomes; more than $20 million in positions were affected. The token LAB climbed about 67% to a record $16.24. On-chain investigator ZachXBT alleged that insiders control more than 95% of the available LAB float through over-the-counter deals and market-maker activity.

Geopolitical developments coincided with the session’s price moves. Iran paused nuclear talks with the United States and threatened to close the Strait of Hormuz. West Texas Intermediate crude rose roughly 8% toward $96 and Brent neared $100 before oil prices eased; higher energy prices appeared alongside wider selling in crypto during the same period.

MicroStrategy had been a prominent corporate buyer of Bitcoin since 2020. The company’s sale is the first reported disposal of Bitcoin since 2022. Market participants are monitoring whether selling pressure eases and if key technical supports for Bitcoin and the broader market hold in the coming days.