MicroStrategy, the leading U.S. business intelligence company, has once again demonstrated its unwavering commitment to Bitcoin. The company recently purchased an additional 5,455 Bitcoins, spending approximately $147.3 million, according to recent filings with the U.S. Securities and Exchange Commission (SEC). The acquisition, which took place between August 1 and September 24, brings the company’s total Bitcoin holdings to a staggering 158,245 tokens, worth more than $4.1 billion.
Good news for Bitcoin
This move is particularly noteworthy given current market conditions. Despite facing downward trends and the impact of rising U.S. Treasury yields on the stock market, Bitcoin has shown resilience, maintaining its value above $26,100. In fact, September may have been the first month in seven years that Bitcoin did not post a decline, further underscoring its robustness in the face of market challenges.
MicroStrategy CEO Michael Saylor has been a strong advocate of Bitcoin. In early August, he highlighted the company’s strategy to accumulate as much Bitcoin as possible for shareholders. This sentiment was echoed in a statement, where he mentioned, “Our goal is to accumulate as much Bitcoin as possible on behalf of our shareholders.” The company’s positive attitude toward Bitcoin began three years ago, when Thaler launched “The Bitcoin Initiative,” a corporate strategy focused on acquiring and holding Bitcoin.
However, it’s worth noting that it’s not all sunshine and rainbows with MicroStrategy’s Bitcoin investments. The company’s total Bitcoin investments are currently unprofitable, with unrealized losses exceeding $500 million. The average purchase price for their entire Bitcoin portfolio is $29,582 per coin, significantly higher than the current trading price of approximately $26,200.
Bitcoin current location
Despite these challenges, Bitcoin remains the dominant player in the cryptocurrency market. Global cryptocurrency market capitalization has seen minor fluctuations, with Bitcoin’s key support area identified at $25,000. Other cryptocurrencies such as Ethereum and BNB gained 1%, while Polygon fell 3%.
The cryptocurrency market is also eagerly awaiting the U.S. Securities and Exchange Commission’s (SEC) decision on approving a Bitcoin exchange-traded fund (ETF). Four members of the U.S. House Financial Services Committee have conveyed the urgency of this approval to the SEC.
In summary, while the cryptocurrency market continues to face uncertainty, companies like MicroStrategy are demonstrating their confidence in Bitcoin’s long-term potential. Only time will tell whether this strategy works in the long run.
Good news for Bitcoin, MicroStrategy makes a bold $147M Bitcoin buy: Why it’s a big bet amid market uncertainty appeared first on BTC Wires.
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