MicroStrategy has once again made headlines with its aggressive Bitcoin acquisition strategy. Between December 9 and December 15, the company purchased 15,350 BTC for approximately $1.5 billion, averaging $100,386 per Bitcoin. This latest buy brings MicroStrategy’s total Bitcoin holdings to a staggering 439,000 BTC, now valued at over $45 billion.
Bitcoin Investment Breakdown
To date, MicroStrategy has spent $27.1 billion on Bitcoin at an average purchase price of $61,725 per coin. The recent acquisition was funded through the sale of 3,884,712 Class A shares, continuing the company’s strategy of leveraging equity to expand its Bitcoin portfolio.
The purchase follows another major acquisition just a week earlier, where MicroStrategy bought 21,550 BTC for $2.1 billion at an average price of $98,783. In the past six weeks alone, the company has added approximately $17.5 billion worth of Bitcoin, representing 39% of its total holdings.
Stock Momentum and Nasdaq 100 Inclusion
MicroStrategy’s aggressive Bitcoin strategy has fueled substantial stock growth, with its market capitalization reaching $92 billion. The company’s stock price has surged 490% this year, closing at $408.67 last Friday and rising 3.5% in pre-market trading on Monday.
Adding to this momentum, Nasdaq announced that MicroStrategy will join the Nasdaq 100 Index on December 23. Analysts anticipate institutional inflows, particularly from ETFs like QQQ. Bloomberg analyst James Seyffart projects at least $2.1 billion worth of shares will be purchased, boosting liquidity and institutional exposure.
Michael Saylor’s Bitcoin Vision
MicroStrategy’s Executive Chairman, Michael Saylor, remains unwavering in his bullish outlook on Bitcoin. “I’m sure that I will be buying Bitcoin at $1 million a coin—probably $1 billion a day of Bitcoin at $1 million a coin,” Saylor recently stated, reinforcing his long-term vision.
The company employs a performance metric known as Bitcoin Yield, which measures Bitcoin growth relative to diluted shares. As of December 15, the year-to-date Bitcoin Yield stands at an impressive 72.4%.
Future Outlook and Accounting Rule Changes
Upcoming changes to accounting rules in 2025 will allow companies to report unrealized gains on Bitcoin holdings when prices increase. Analysts believe this shift will enhance financial visibility and improve MicroStrategy’s eligibility for inclusion in the S&P 500 Index. Bernstein analysts highlight MicroStrategy’s manageable leverage of 18% of its Bitcoin net asset value, leaving significant room for further strategic debt issuance.
MicroStrategy’s Dominance in Bitcoin Holdings
MicroStrategy now controls approximately 2.1% of Bitcoin’s fixed 21 million supply, further solidifying its position as the leading institutional Bitcoin holder. While skeptics raise concerns about potential price volatility, analysts view MicroStrategy’s approach as a high-conviction, long-term investment strategy.
Conclusion
With Bitcoin recently reaching $107,000, MicroStrategy’s momentum shows no signs of slowing down. Its inclusion in the Nasdaq 100, rising institutional interest, and innovative financial strategy position MicroStrategy as a pivotal player in Bitcoin’s institutional adoption. As the company continues to expand its holdings, all eyes remain on Michael Saylor’s visionary bet on Bitcoin and its impact on global markets.
