MicroStrategy Buys $5.4 Billion in Bitcoin Again As Stock Price Surges 80%

As a seasoned investor who’s seen my fair share of market swings and trends, I can’t help but marvel at MicroStrategy’s bold Bitcoin strategy. Having witnessed the dot-com bubble and its aftermath, I never thought I’d see a company making such a significant bet on a single asset class.


MicroStrategy Inc. has just bought an additional $5.4 billion of Bitcoin, boosting their existing crypto holdings significantly. This is now their third such acquisition this month, indicating a rapid escalation in their strategy to amass Bitcoin.

As a proud crypto investor, I’m always on the lookout for significant players in the digital currency scene. One such entity that has caught my attention is MicroStrategy. Not only did they shift their focus to Bitcoin, but they’ve also amassed the largest institutional stake in the cryptocurrency market. It’s fascinating to see such a strategic move and the impact it could have on the future of digital currencies.

MicroStrategy Stock (MSTR) Price Rallies in November 

As an analyst, I’m sharing that our recent acquisition was partially financed by the earnings from a $3 billion offering of convertible senior notes. Simultaneously, our company’s stock (MSTR) and Bitcoin acquisitions have propelled it to a significant upward trend.

Significantly, the performance of MSTR has closely followed the fluctuations in Bitcoin’s price. Last week alone, MSTR saw a gain of more than 20%, and it has risen approximately 80% this November.

MicroStrategy purchased approximately 55,500 Bitcoins for around $5.4 billion, with each Bitcoin costing about $97,862. This move has resulted in a quarter-to-date yield of 35.2% and a year-to-date yield of 59.3%, as stated by Michael Saylor on his social media platform (previously known as Twitter).

Due to Bitcoin’s price increase exceeding 150% this year, MicroStrategy’s stock has experienced a remarkable 515% surge since the beginning of the year. This growth has catapulted the company into the group of the top 100 publicly traded companies in the U.S.

As of Nov 25, MicroStrategy has around $32B in Bitcoin, more than cash reserves of big corporations like IBM, Nike, and J&J.)

This year, Michael Saylor unveiled intentions to gather approximately $42 billion for additional Bitcoin investments, spanning from 2025 to 2027. Known as the “21/21 Plan,” this venture aims to obtain $21 billion from both equity and fixed-income securities, thereby substantially increasing the company’s cryptocurrency holdings.

As an analyst, I’ve observed a notable growth in our holdings with MicroStrategy, as we, BlackRock – the leading Bitcoin ETF provider in the U.S., have expanded our share to 5.2% in this company.

Read More

2024-11-25 17:40