According to an analysis by Charles Edwards, the founder of Capriole Investments, approximately 80% of companies that hold Bitcoin ($BTC) as part of their treasury are currently experiencing unrealized losses.
This information emerges as $BTC approaches the $71,000 mark again, prompting discussions about whether this widespread institutional discomfort is a sign of caution or an opportunity for contrarian investors.
The Figures Behind Corporate Struggles
On March 10, Edwards presented several charts on X illustrating that the average cost basis for Bitcoin held in corporate treasuries is around $90,000—significantly higher than its current trading price.
When adjusted for larger holders like Strategy on a weighted basis, the average purchase price drops to roughly $81,000. This indicates that major buyers entered at earlier and lower prices. Nevertheless, both metrics show that Bitcoin’s current value falls short.
“With 80% of these treasuries facing losses on their Bitcoin investments today,” Edwards remarked. “Historical trends suggest this situation could worsen if 2026 mirrors what happened in 2022. There’s no such thing as free yield from Bitcoin.”
In his thread, he also pointed out that institutions generally find themselves at a loss with their $BTC holdings; the average purchase price among institutions hovers around $78,000. Additionally, ETF investors are similarly in negative territory.
A noteworthy detail he highlighted was a significant uptick in treasury and ETF purchases which surged by 200% on the day he made his observations.
“The last time we saw numbers like this was when Bitcoin reached $90K,” he noted while labeling it “very encouraging news amid ongoing global conflicts.”
The increased demand referenced by Edwards was exemplified by Strategy’s recent announcement regarding its acquisition of 17,994 $BTC, purchased at an approximate average price of $71K each. This brings their total holdings to about 738,731 $BTC, valued at around $56 billion; however they face an unrealized loss nearing $6 billion based on current market conditions.
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Additionally,, Strategy’s perpetual preferred stock achieved a new trading volume high for March with figures reaching up to $299 million as reported on March 9th—enough funding estimated for another acquisition of approximately 1,360$ BTC .”.
The overall supply dynamics provide context regarding why institutional accumulation has garnered attention lately; analyst Darkfost observed that reserves held within centralized exchanges have dwindled down to levels reminiscent of those seen back in early2019.
Furthermore , since launching in January2024 , ETFs have absorbed close ton early1 .3 million$ BTC , while corporate treasury firms collectively possess about1 .1 million$ BTC —representing nearly5 %of total supply.
An Overview Of Current Prices ForBitcoin/h2 >
As this article is being written ,Bitcoin trades near$71 K —reflecting over4 %growth within24 hours after rebounding fromaround67 K .Over seven days’ time frame,the asset gainedapproximately6 .4 %,and almost doubledthat figureover14 days’ period.Despite these gains,it remains down nearly13 %year-on-year,and still sits roughly44 %belowits all-time high recordedinOctober2025.