Strategy's Bitcoin-backed preferred stock, STRC, closed at $91.79 on Tuesday, marking its third lowest closing price since it began trading in July 2025. This represents a nearly 8% drop from its $100 face value. The decline is attributed to competitive pressures and concerns over dividend coverage. STRC has not returned to the $100 level since its ex-dividend date on May 15. Bitcoin's price, currently around $65,000, has fallen approximately 50% from its all-time high last October, adding pressure on STRC. Additionally, Strategy's cash reserves now cover only about seven months of dividend payments, down from 24 months previously. Competition from Strive's SATA, offering a 13% annual yield and trading at $99.99, further impacts STRC, which offers an 11.5% yield. The market suggests STRC may need to increase its yield by about 100 basis points to regain demand.