Ki Young Ju vs. Saylor: Why Strategy Should Stop Aggressive Bitcoin Purchases
Founder and CEO of CryptoQuant, Ki Young Ju, has sharply criticized the strategy of the company Strategy (formerly MicroStrategy) of continuously accumulating bitcoin. In his opinion, Michael Saylor's current purchases have transformed from a growth driver into a "liquidity sink" that merely keeps the market in a sideways trend without contributing to the formation of a sustainable upward trajectory.
CryptoQuant's analysis reveals alarming dynamics in Strategy's financial indicators. The company's annual dividend obligations have nearly quadrupled, reaching $1.2 billion. Meanwhile, cash reserves have decreased by 38% compared to 2026. Dividend coverage, which previously exceeded seven years, has collapsed to just 14 months. This is a classic signal that the financial safety net is rapidly eroding.
Why aren't purchases moving the price?
Ki Young Ju explains that in conditions of low selling pressure, demand from Strategy can indeed have a noticeable impact on quotes. However, the current market situation is fundamentally different. Seller pressure clearly exceeds buyer activity, and Strategy's purchases only keep bitcoin in a wide range, preventing it from falling but not pushing it upward.
The head of CryptoQuant provides compelling data: over the past two years, bitcoin's realized capitalization has grown by $467 billion, while the price over the same period has decreased by 1%. This is a clear illustration that hundreds of billions of dollars in inflows have only led to a change in coin ownership, not to a rise in quotes. The market is simply absorbing supply without finding a catalyst for upward movement.
Moreover, Ki Young Ju warns that Strategy's constant purchases prevent the market from undergoing a natural "cleansing drawdown." Such a correction would allow more holders to lock in profits and accumulate liquidity, as well as provide confidence for new buyers to enter. Instead, we are witnessing a "sluggish sideways movement" that only prolongs the consolidation phase.
Typically, bitcoin cycles go through crashes, capitulation, and the exit of weak hands, followed by accumulation by whales. The current cycle is different: bitcoin has been moving in a broad sideways range for almost two years, neither gaining strength for a new bull market nor weakening enough for a true capitulation.
Three tips for Saylor
Ki Young Ju directly addressed Michael Saylor with three specific suggestions:
First: immediately suspend bitcoin purchases until cash reserves are restored and dividend coverage improves. The company's financial security should be a priority.
Second: develop a systematic, model-based purchasing scheme. The phrase "Strategy always buys at the local top" has become a market meme, and this is not a strategy but chaotic capital expenditure. Buying whenever there are free funds is not a strategy.
Third: implement a disciplined sales scheme for the next bull market. Partial sales near cycle peaks are not a rejection of bitcoin but prudent risk management. This would reduce the company's debt burden, lock in value for shareholders, and create a reserve of free liquidity for re-accumulation at lower prices. As Ki Young Ju emphasizes, this is not trading but risk management.
Expert comment: Ki Young Ju's position appears not just as criticism but as a timely warning. The "buy and hold forever" strategy only works under conditions of unlimited access to cheap capital. When this source dries up and the debt burden grows, the company risks being trapped where bitcoin is not an asset but a burden. The market is clearly signaling that the previous model has exhausted itself.