Key Takeaways
- MicroStrategy is the largest corporate Bitcoin holder with a stash of 471,107 BTC worth $46.97 billion.
- Only three of MicroStrategy’s Bitcoin purchases are in the red, running at a combined loss of $135 million.
- Since launching its Bitcoin investment strategy, MicroStrategy’s stock has climbed 607.47% in the past 365 days.
Following a 12-week run of gigantic Bitcoin (BTC) purchases, a recent announcement from MicroStrategy Co-founder Michael Saylor may have signaled that its Bitcoin-buying spree could be on ice.
MicroStrategy on Hold?
Since launching its BTC gambit, MicroStrategy has acquired a whopping 471,107 BTC, an average price of $64,524.20 apiece, costing the firm roughly $30.39 billion.
MicroStrategy’s years-long Bitcoin gambit has paid off significantly, with the firm’s holdings now worth $46.97 billion. Of that, $16.51 billion is unrealized profits.
However, a Feb. 3 post from Saylor reveals that the firm has ended its 12-week BTC investment streak with no fresh purchases to report.
Furthermore, Saylor announced that the firm did not sell any class A shares as part of its “at-the-market” fundraising initiative.
The pause may be considered a “canary in the coal mine” scenario and signal potentially bearish action to come, especially given that the firm is already the largest corporate holder of BTC in the world.
Bitcoin’s Rising Cost
The first and most obvious reason for the pause may be a simple matter of timing. Bitcoin has been exceptionally volatile as it wavers around the $100,000 price threshold.
Since Nov. 25, 2024, MicroStrategy has made all of its purchases when BTC’s value was above $90,000 and $100,000.
Out of all the BTC investments made since it began in August 2020, just three are running at a loss because BTC has since retreated from these highs.
The purchases made on Dec. 23, 2024 (BTC at $106,662), Jan. 21, 2025 (BTC at $101,191), and Jan. 27, 2025 (BTC at $105,596), constitute a total loss of just over $135 million.
Therefore, it’s very likely that the firm is eyeing the opportunity to make another bulk purchase. That, or there’s a chance that MicroStrategy’s latest stock sale effort yielded underwhelming results.
Eddie is a gaming and crypto writer at CCN. Covering the often weird and wonderful world of Web3 with an adoring, but skeptical eye.
Prior to CCN, Eddie has spent the past seven years working his way through the crypto, finance, and technology industry. He began with PR and journalism with Bitcoin PR Buzz and BitcoinNews.com, eventually working his way to become a copywriter with a dozen firms, including the likes of Polkadot before returning to journalism in 2023.
Having studied Radio production and journalism at University in the UK, Eddie spent a few years making podcasts and presenting on a local London radio station as he built up his writing chops.
A lifelong skateboarder, Eddie can often be found at the skatepark or touring the streets looking for something new to try. That, or kicking back playing JRPGs on his original PSP.
