MicroStrategy, the business intelligence firm known for its aggressive Bitcoin (BTC) acquisition strategy, continues to make significant strides despite market volatility. As of December 1st, the company’s holdings have surpassed 400,000 BTC, solidifying its position as the world’s largest corporate holder of the digital asset.
Aggressive Acquisitions Push Holdings Past 400,000 BTC
MicroStrategy’s current Bitcoin stash sits at a staggering 402,100 tokens, with a combined value of approximately $38.2 billion based on the current market price of $95,000 per BTC. Notably, the company’s average purchase price per token remains significantly lower at $58,263, potentially indicating substantial future gains if Bitcoin’s price appreciates.
This latest acquisition, financed through an ongoing at-the-market (ATM) share sale program, further demonstrates MicroStrategy’s unwavering commitment to Bitcoin. The company’s executive chairman, Michael Saylor, fueled the crypto community’s anticipation in early December by hinting at the upcoming purchase.
Fourth Consecutive Week of Bitcoin Purchases
MicroStrategy’s recent acquisition marks its fourth consecutive week of adding to its Bitcoin reserves. The company raised roughly $1.5 billion by selling 3.7 million shares of its MSTR stock over the past week. These funds were then immediately reinvested into Bitcoin, showcasing the company’s bullish long-term outlook on the digital asset.
According to Bloomberg, MicroStrategy still has access to around $11.3 billion through its remaining stock issuance program. This strategy represents a larger plan to secure a total of $21 billion in funding by 2027 through fixed-income securities, further bolstering its Bitcoin acquisition capabilities.
SEC Filing Reveals Details of Recent Purchases
A recent filing with the U.S. Securities and Exchange Commission (SEC) sheds light on MicroStrategy’s most recent Bitcoin purchases. The company acquired 15,400 BTCs between November 25th and December 1st, at an average price of $95,976 per token. Notably, since November 11th, MicroStrategy has invested a staggering $13.5 billion in Bitcoin across three separate purchases.
Bitcoin Miner MARA Follows Suit
Following a similar strategy, Bitcoin miner Marathon Digital Holdings (MARA) has also been accumulating Bitcoin. Between October 1st and November 30th, MARA purchased 6,484 BTC for approximately $618.3 million, averaging $95,352 per token. As of the end of November, MARA holds 34,959 BTC, with a current market value of $3.3 billion.
While MicroStrategy’s Bitcoin strategy exhibits long-term confidence, the company faces immediate challenges. Its market capitalization has experienced a significant decline over the past four days, dropping by over 35% and erasing more than $30 billion in value. This highlights the inherent risks associated with market volatility in the crypto space.
As of December 4th, Bitcoin is trading at $94,868.35, reflecting a slight decline. Similarly, MSTR stock is down 1.85% at $380.30.
Also Read: Bitcoin (BTC) Dips 3% After MicroStrategy’s $4.6 Billion Purchase – A Temporary Setback?
MicroStrategy’s unwavering commitment to Bitcoin positions it as a key player in the cryptocurrency space. While the immediate market fluctuations pose risks, the company’s long-term strategy and significant holdings suggest a strong belief in Bitcoin’s future potential. As the crypto market continues to evolve, it will be interesting to see how MicroStrategy’s strategy unfolds and its impact on the broader Bitcoin ecosystem.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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