Despite Bitcoin prices plummeting, the tech company MicroStrategy continues to reinforce its position in the crypto market. With the 12th consecutive purchase, MicroStrategy has raised its total Bitcoin holdings to an astonishing number.
Largest Bitcoin Purchase To Date
In the past week, MicroStrategy spent 1.1 billion USD to purchase an additional 10,107 Bitcoin at an average price of 105,596 USD/BTC, according to shares from #MichaelSaylor – the co-founder and Chairman of the company.
However, Bitcoin prices have sharply declined on Monday morning (New York time), dropping to a low of 98,380 USD before slightly recovering to 100,700 USD.
Currently, MicroStrategy holds 471,107 Bitcoin, with a total value of over 47 billion USD. Since 2020, the company has spent a total of 30.4 billion USD to accumulate Bitcoin, at an average price of 64,511 USD/BTC.
MicroStrategy's Bitcoin Strategy
MicroStrategy began its investment strategy in Bitcoin in 2020, when Michael Saylor declared that it was the 'best hedge against inflation and a way to preserve long-term assets'.
Since then, the company has continued to buy Bitcoin, especially in the past 12 weeks, announcing a new purchase each week.
MicroStrategy's large holdings in Bitcoin have also helped the company's stock (#MSTR ) soar in recent years, attracting interest from investors seeking indirect exposure to Bitcoin.
Current Performance of MicroStrategy
Despite the bold strategy, MicroStrategy's stock has fallen 14% in the past week and dropped another 4% on Monday, as the market was affected by the emergence of a new AI model from China – DeepSeek.
Conclusion
Despite facing short-term volatility, MicroStrategy remains steadfast in its belief in the long-term value of Bitcoin. However, the question arises as to whether this continuous buying strategy will help the company maintain its advantage or will place them at great risk if Bitcoin prices continue to decline? Investors need to carefully consider before making decisions based on MicroStrategy's movements.