Michael Saylor indicates another Bitcoin purchase as holdings surge
MicroStrategy co-founder Michael Saylor has posted the Bitcoin (CRYPTO:BTC) tracker for the tenth consecutive week, suggesting a potential upcoming acquisition.
On January 12, 2025, Saylor shared the tracker on social media, which has become a precursor to MicroStrategy's Bitcoin purchases.
As of now, the company holds approximately 447,470 BTC, valued at around $42.4 billion. This follows a recent acquisition of 1,070 BTC on January 6, purchased at an average price of $94,004 each.
SaylorTracker reports that MicroStrategy's Bitcoin holdings have generated unrealised gains of over $14 billion, reflecting a return of about 51%.
Despite these gains, shares of MicroStrategy (MSTR) have seen a decline of approximately 40% from their peak price of $543 reached in November 2024.
The company's strategy of accumulating Bitcoin has sparked debate within the crypto community. While some view it as a leveraged bet on Bitcoin, others express concerns regarding the sustainability of Saylor's debt-financed approach.
David Krause, an emeritus professor of finance at Marquette University, warned that a significant drop in Bitcoin's price could severely impact MicroStrategy's stock and potentially lead to bankruptcy in extreme cases.
Nevertheless, Saylor remains committed to this strategy and has even presented his case for Bitcoin adoption to other corporations.
In October 2024, he revealed an ambitious plan to invest $42 billion into Bitcoin through equity and fixed-income securities offerings.
This includes a proposed $2 billion preferred stock offering aimed at bolstering the company's balance sheet while continuing its aggressive Bitcoin acquisition strategy.
Saylor's unwavering confidence in Bitcoin is evident as he hints at further purchases despite market volatility and recent price declines.
At the time of reporting, the Bitcoin price was $95,718.37.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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