MicroStrategy continues its Bitcoin (BTC) buying spree. The business intelligence firm scooped 2,138 BTC for $209 million in its latest purchase, pushing its total holdings to 446,400 BTC.
MicroStrategy Ends 2024 With Another Bitcoin Buy
In an announcement made today, the US-based company stated it had further bolstered its BTC reserves with a fresh 2,138 BTC purchase. According to the announcement, MicroStrategy’s latest BTC purchase occurred between December 23 through December 29, at an average price of $97,837 per BTC.
To finance the purchase, MicroStrategy spent $209 million in cash by selling 592,987 shares during the week. Today’s buy also marks the eighth consecutive week of the firm purchasing BTC.
MicroStrategy CEO, Michael Saylor, teased the purchase yesterday when he shared a chart called the “Saylor Tracker” that tracks the company’s BTC purchases to date. Saylor stated that there were “disconcerting” lines on the Saylor Tracker, hinting that a BTC purchase may be on the horizon.
The company also revealed that its BTC yield – a metric used to assess the performance of its Bitcoin investments – had reached 74.1% year-to-date (YTD) as of December 30. For the period between October 1 and December 29, its BTC yield stood at 47.8%, highlighting significant gains in the final quarter.
Despite this acquisition, MicroStrategy’s latest BTC purchase failed to lift its stock price. At the time of writing, MicroStrategy stock (MSTR) is down 5.19% on the day. However, the stock has surged an extraordinary 395% YTD, outperforming both Bitcoin and the S&P 500 in percentage terms.
Michael Saylor, known for his unwavering bullish stance on Bitcoin, recently stated that he intends to keep “buying the top forever.” The CEO confidently predicted he would continue purchasing Bitcoin even if its price reached $1 million per BTC. Saylor has also urged a pivot away from gold, championing Bitcoin as the superior store of value. He previously commented:
Dump your gold. Sell all the US gold, [and] buy Bitcoin, then the trade is free because you can buy 5 million Bitcoin for the cost of the gold. You will demonetize the entire gold asset class, and our enemies hold gold in their banks, so their assets would go to zero. Our assets would go to a hundred trillion dollars.
2024: A Watershed Year For BTC Adoption
2024 has been a significant year for the flagship cryptocurrency in terms of institutional adoption. In January, the US Securities and Exchange Commission (SEC) approved spot Bitcoin exchange-traded funds (ETF), making it easier for institutional investors to gain direct exposure to BTC.
Similarly, a survey in October highlighted that 72% of institutional investors are willing to invest in digital assets, further solidifying Bitcoin’s growing appeal. At press time, BTC trades at $91,779, down 3.2% in the past 24 hours.
