A very adventurous and bold move was made by Microstrategy this time. The Nasdaq-listed company has been on a buying spree on every bitcoin dip. Its latest bitcoin purchase was made as the digital asset is nearing its all-time high of $60K.
Microstrategy’s previous acquisition was on Mar. 4 when the company bought 205 BTC at $10M. It can be recalled that the price of bitcoin crashed to as low as $48,363 at that time.
On Friday, Microstrategy announced that it has purchased an additional 262 BTC at an average price of $57,146. This brings its total bitcoin holdings to 91,326 BTC. With BTC’s (bitcoin) current price of $60, 908, it has gained a gross profit of almost $1 million just from its latest purchase. The current value of its bitcoin holdings is now at $5.5 billion.
Microstrategy with its founder and CEO, Michael Saylor has been a staunched supporter of the virtual asset. According to reports, Saylor revealed that he personally owns $240 million worth of bitcoins which he bought at an average of $9,882 each. This accounts for 24,286 BTC which now has a value of $1.47 billion. This means that he has gained a gross profit of 516% with every single bitcoin he owns.
The company’s bitcoin purchases have hurt the company after its stock price plummeted to more than half from its peak price on Feb. 9 at $1,272. After crashing to $547 on March 5, it has rebounded to $784 recording an increase of 43.3% today.
Has Microstrategy changed its buying behavior? Is it buying before ATH and no longer during bitcoin dips? A bold move I would say and definitely not the traditional way of buying. This may scare other traders but not institutional investors like Microstrategy, don’t you agree? Let’s all watch out for Microstrategy’s next buy.