MicroStrategy Doubles Down on Bitcoin, Buys $347 Million More BTC
MicroStrategy just doubled down on its Bitcoin investment. The business intelligence company announced today that they purchased an additional $347 million in Bitcoin, bringing total holdings to 152,333 BTC.
More Bitcoins Into The Purse
Microstrategy has been a long supporter of Bitcoin, with former CEO Michael Saylor referring to the cryptocurrency as the digital synthetic successor to gold. He has also been vocal about Bitcoin’s potential as a hedge against inflation, much like physical gold.
The firm started buying Bitcoin back in August 2020 worth over $250 million and hasn’t slowed down since. According to a Twitter post by Michael Saylor, this latest buy of 12,333 BTC was purchased at an average price of $28,136 per bitcoin between April 29, 2023, and June 27, 2023.
This brings the total purchase up to approximately $4.52 billion at an average price of $29,668 per bitcoin inclusive of fees and expenses. MicroStrategy, together with its subsidiaries, currently holds an aggregate of approximately 152,333 bitcoins.
MicroStrategy has acquired an additional 12,333 BTC for ~$347.0 million at an average price of $28,136 per #bitcoin. As of 6/27/23 @MicroStrategy hodls 152,333 $BTC acquired for ~$4.52 billion at an average price of $29,668 per bitcoin. $MSTR https://t.co/joHo1gEnR0
— Michael Saylor⚡️ (@saylor) June 28, 2023
More Mainstream Acceptance
MicroStrategy isn’t the only company dabbling into Bitcoin investment, as many companies and hedge funds have allocated portions of their portfolios to Bitcoin over the years. Companies like Tesla and Galaxy Digital Holdings have also purchased hundreds of millions of dollars worth of Bitcoin.
It’s been a strong month for the biggest cryptocurrency in the world, with the Bitcoin breaking past $30k this month. Now, the company with the biggest bag of Bitcoin is adding to its holdings.
BTC above $30,000 puts MicroStrategy in profit | Source: BTCUSD on TradingView.com
Bitcoin price is down more than 70.1% from its all-time high of $69,044.77 set on November 10, 2021. According to Michael Saylor, Bitcoin is up 159% since MicroStrategy started its strategy in August 2020.
Bitcoin is currently trading in the 30k region in the past week. However, since after the announcement was made, the cryptocurrency has been down by 1.45% on the day. Past announcements of MicroStrategy’s acquisitions have led to a slight dump in the price of Bitcoin.
While risks and volatility remain, the growing interest from institutional investors is a hugely bullish signal for Bitcoin, especially in the current crypto bear market. While this level of investment in such a volatile asset is risky, if Bitcoin gains mainstream appeal and hits projections of $100,000 per coin or more, MicroStrategy will seem like visionaries.
Featured image from Decrypt, chart from TradingView.com
