Coinbase Says MicroStrategy’s Bitcoin Buying Tightens Supply More Than Market Expects

Coinbase Institutional published analysis (Apr 17, 2026) arguing MicroStrategy’s persistent BTC purchases materially shrink the liquid Bitcoin float, potentially amplifying breakout moves when key technical levels are tested. Digital-asset treasuries’ share of BTC supply has quadrupled to over 4% in two years, and MicroStrategy alone holds 780,897 BTC. Coinbase warns the company’s buying can reinforce momentum-driven flows (breakout traders, systematic funds, bots), but said the price effect may be muted in any single session because anticipated buying, ETF flows, miner supply and derivatives hedging can dilute impact. Michael Saylor amplified the narrative with a post underscoring Bitcoin’s uncensorable design. Net market implication: corporate treasury accumulation tightens supply and increases the likelihood of sustained rallies or breakouts, though short-term price influence remains contingent on broader flows and market structure.