Saylor's Strategy extends rally on new cash reserve for bitcoin purchases, buybacks

Shares of Michael Saylor-led Strategy MSTR.O advanced 5.1% to $125.38 on Monday after the company set aside about $1.6 billion in cash to fund future treasury operations, including potential bitcoin purchases.

MSTR rose for a fourth straight session, racking up about a 35% gain along the way.

The new cash pool, dubbed "USD Cash", can be used for bitcoin buys, share repurchases and other corporate events, giving the company more flexibility to navigate market downturns.

The move comes as bitcoin BTC=, a key asset for the world's largest corporate buyer of the crypto, approached the $80,000 mark last week for the first time since mid-May.

Despite the rally, MSTR is off about 18% year to date and 65% over the past year.

Eighteen of 20 analysts rate the stock "strong buy" or "buy", while two rate it "hold"; the median price target is $206.67, per LSEG data.

BTC was up 2.4% to $79,222.92 on Monday. It surged about 23% last week after U.S. President Donald Trump urged Congress to pass a crypto bill, as well as a boost to risk assets following the Treasury Department's surprise announcement to support long-term bonds.