Microstrategy, the data analytics firm run by billionaire cryptocurrency bull Michael Saylor, announced its latest major investment in bitcoin on Thursday morning, yet again doubling down on its staggering commitment to the world’s largest cryptocurrency as the market slipped through a loophole. which has pushed the prices further down. Down 30% from last month’s all-time high.
in a regulator filing On Thursday, Virginia-based Microstrategy, which owns more bitcoins than any other corporation in the world, revealed that it sold approximately 1,914 bitcoins between December 9 and December 29 for approximately $94.2 million in cash, or $49,229 per coin. Buy it.
The company says it now has approximately 124,391 bitcoins, which have been purchased for approximately $3.8 billion, or an average value of $30,159 per coin.
MicroStrategy’s latest investment comes as bitcoin’s price struggles to near two-month lows, after a nearly 10% sell-off on Tuesday that saw prices fall by nearly 17% at the end of last month, taking bitcoin out of May. Got on track for its worst monthly performance ever.
Adding to the volatility in prices, options contracts worth more than $6 billion are set to expire on Friday, according to analysts at UK-based cryptocurrency broker GlobalBlocks—effectively giving investors a double-down on riskier bets or their risk appetite. Force the position to open.
MicroStrategy helped fund the purchase using proceeds from a stock offering it disclosed earlier in June, which has raised nearly $1 billion from investors so far, including a batch of sales this month for about $565.78 per share .
Shares of MicroStrategy, which has also used newly issued debt to buy bitcoin during the pandemic, jumped nearly 1.4% on Thursday morning and nearly 33 percent this year despite falling more than 7% since the crypto sell-off on Tuesday. % is up.
$5.9 billion. As of Thursday, MicroStrategy’s bitcoin holdings were valued at approximately $47,400 per coin.
Thanks to its soaring bitcoin investments — rivaled only by Tesla’s 42,000 coins — microstrategy has undergone a surprising turnaround since the dot-com bubble decimated its stock price nearly two decades ago. The shares are up about 285% since the company first began buying bitcoin in August 2020. However, prices have been incredibly sensitive to the external volatility of the nascent crypto market. The stock has fallen more than 55% from a 21-year high in February, when bitcoin prices were skyrocketing recently after Tesla CEO Elon Musk said on Twitter that its price seemed “a bit high”.
After peaking at around $3 trillion in value on November 10th, the crypto market now sits at a total market capitalization of about $2.2 trillion.
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