Michael Saylor's Influence? GameStop Stock Soars Amid Bitcoin Rumors
GameStop's stock price jumped 18% following whispers that the company might add Bitcoin to its balance sheet. This surge coincided with a social media post featuring GameStop CEO Ryan Cohen and prominent Bitcoin advocate Michael Saylor, fueling speculation about a renewed interest in cryptocurrency.
The February 13th after-hours trading saw GameStop's stock climb from $26.30 to $31.30, driven by this social media interaction and the Bitcoin rumor. While GameStop hasn't officially confirmed any Bitcoin purchase, the connection to Saylor, whose company MicroStrategy holds a massive Bitcoin portfolio (currently 478,740 #BTC worth nearly $47 billion), has ignited excitement. Though the stock later settled around $28.50, it still represented a healthy 7% gain.
GameStop's past crypto ventures, including a crypto wallet and NFT marketplace (both shuttered in 2023), raise questions about their future in the space. Despite those setbacks, the current market dynamics, with other companies like Strategy and Gumi making significant Bitcoin investments, might entice GameStop to reconsider. With over $4.6 billion in cash reserves, GameStop has the resources.
While crypto investments are inherently volatile, the evolving regulatory landscape and increasing institutional adoption, particularly with a pro-crypto sentiment in some political spheres, make it a potentially strategic move. MicroStrategy's success with its Bitcoin-heavy strategy, using it as a hedge against inflation, provides a compelling example.
The connection between Cohen and Saylor, however, raises questions about the extent of Saylor's influence on any potential GameStop Bitcoin strategy. A move into Bitcoin would signal a significant shift for GameStop.
