The popular Bitcoin-focused company, Microstrategy has gained over a hundred percent of its BTC investments following a surge in the asset’s price above $65,000 this morning.
MicroStrategy’s Bitcoin Journey
Microstrategy started its Bitcoin purchase journey in September 2020 buying 16,796 BTC at $10,419 per coin. With the last known purchase in February 2024, the business intelligence firn holds 193,000 bitcoins at an average price of $31,544 per coin. In total, the company has spent $6.09 billion to acquire the leading crypto asset.
Currently, Microstrategy’s bitcoin portfolio is valued at $12.6 billion, and the firm has only recorded one bitcoin sell transaction of 804 BTCs since 2020. Interestingly, just before the pump, Michael Saylor, MicroStrategy’s executive chairman made a post on X saying: “You do not sell your #Bitcoin” openly indicating no plans to sell any of the comapny’s bitcoin holdings.
Effects of Bitcoin Pump on MicroStrategy
The rise in bitcoin price has increased MicroStrategy’s market capitalization within a short period as the company now ranks #562 in the list of US companies by market cap. Growing up to a $18.32 billion market cap which is a 496.7% increase within a year and their bitcoin holdings now cover more than two-thirds of the company’s market value.
In an interview with CNBC two days ago, Bill Miller IV, Miller Value Partners CIO said that MicroStrategy still has a massive runway ahead of it. He explains that only $500 billion of fiat currency in circulation has been converted into bitcoins and a halving event lies ahead.
Further talking about Saylor, Miller IV noted that “Michael Saylor understands basic maths on how to create more bitcoin per share for their holder.” This gives further credit to Saylor’s position as MicroStrategy’s executive chairman. His diversion of focus into purchasing more bitcoins for the firm has yielded much profit. The recent bullish bitcoin candles still exhibit signs of further profits that will likely increase the company’s net worth.