Crypto Hotshots 2022 🔥♨️

Twitter Instagram Facebook Facebook Linkedin Youtube Spotify Medium Reddit Tik-tok Telegram
Voice of Crypto
  • VOC Explained
  • News
  • Analysis
  • Bitcoin
  • Altcoin
  • Press Release
    • Sponsored
    • Global Crypto Events
  • Services
    • Content Marketing Services
    • Crypto Influencer Marketing
    • Advertise With Us
  • Know Us
    • About Us
    • VOC Team
    • VOC Vigilantes
    • Brands Who Trust Us
    • Contact Us
Reading: Microstrategy Unveils Plans to Buy More Bitcoins, Will It Pump BTC Price Action?
Share
  • bitcoinBitcoin(BTC)$28,111.00
  • ethereumEthereum(ETH)$1,765.72
  • tetherTether(USDT)$1.01
  • binancecoinBNB(BNB)$338.13
  • usd-coinUSD Coin(USDC)$1.01
  • rippleXRP(XRP)$0.383626
  • cardanoCardano(ADA)$0.339323
  • staked-etherLido Staked Ether(STETH)$1,761.57
  • matic-networkPolygon(MATIC)$1.12
  • dogecoinDogecoin(DOGE)$0.072576
  • Events
  • Videos
  • Podcast
Voice of CryptoVoice of Crypto
Aa
  • VOC Explained
  • News
  • Analysis
  • Bitcoin
  • Altcoin
  • Press Release
  • Services
  • Know Us
Search
  • VOC Explained
  • News
  • Analysis
  • Bitcoin
  • Altcoin
  • Press Release
    • Sponsored
    • Global Crypto Events
  • Services
    • Content Marketing Services
    • Crypto Influencer Marketing
    • Advertise With Us
  • Know Us
    • About Us
    • VOC Team
    • VOC Vigilantes
    • Brands Who Trust Us
    • Contact Us
Follow US
Copyright © 2023 Voice of Crypto. All Rights Reserved
Voice of Crypto > News > Microstrategy Unveils Plans to Buy More Bitcoins, Will It Pump BTC Price Action?
News

Microstrategy Unveils Plans to Buy More Bitcoins, Will It Pump BTC Price Action?

Adekunle Joshua
Last updated: 2023/03/14 at 12:13 PM
Adekunle Joshua Published September 13, 2022 March 14, 2023
Share
VOC, Voice of Crypto, Bitcoin, BTC, MicroStrategy

Throughout the last few years, Michael Saylor (co-founder of MicroStrategy) bought a total of about 130,000 bitcoin at almost $4 billion.

Contents
Microstrategy and Bitcoin RelationWhat Does This Mean to BTC

So far, Saylor and Microstrategy have lost about $917 million to bitcoin’s correction since reaching its all-time highs.

Microstrategy and Bitcoin Relation

Under Saylor’s leadership, the company acquired $250 million in bitcoin in August 2020 and added another $175 million in September of the same year.

The exact number of bitcoin Saylor acquired in 2020 is unknown, but it is estimated to be about 129,600 BTC. However, the recent crypto winter has turned the company’s investment sour, causing them losses of billions.

These losses don’t seem to faze MicroStrategy, though. Recently, MicroStrategy entered an agreement with Cowen and Company and BTIG to sell off its aggregated class A common stock valued at a jaw-dropping $500,000,000, as reported by filings from the Securities and Exchange Commission (SEC).

The SEC filings that report MicroStrategy’s plans to sell their common stock also mention that proceedings from the stock offering will be for “general corporate purposes, including the acquisition of more bitcoin.”

It is also worth noting that the purchase of the current dip is necessary for MicroStrategy, as their BTC reserve is down about $2.8 billion. This means the company has an accumulated loss of almost $1 billion.

What Does This Mean to BTC

The price of every commodity and bitcoin depends on demand and supply.

The less of the said commodity in circulation, the greater its scarcity and, therefore, its price. Microstrategy selling off $500 million of its common stock and using part of it to purchase bitcoin fits directly into this narrative.

Buying bitcoin, possibly worth hundreds of millions of dollars, will reduce its supply, making the cryptocurrency slightly more scarce and expensive.

The same happened with Tesla CEO Elon Musk in 2021, when he announced that Tesla had purchased $1.5 billion worth of bitcoin.

The BTC price surged by more than 20% two days after Tesla’s announcement, reaching a high of $44,000.

The same just might happen with Bitcoin and MicroStrategy’s planned purchase.

Following the FTX collapse, Bitcoin, the flagship cryptocurrency, has been following a downward trend. Bitcoin broke through the $18,250 support and even retested the $15,000 zone. Currently, BTC is hovering between $16,681 and $17,051, with a market cap of $321B.

 

Disclaimer: Voice of crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.

 

 

 

 

 

 

 

 

 

You Might Also Like

XRP Market Cap Smashes $20B As Ripple vs. SEC Case Stirs News

Dogecoin Whales Make Massive Moves – Where Is DOGE Headed?

3 Things About Crypto you Need to Know Before the FOMC meeting

SVB Collapse Stalls NFT Market Growth

Bitcoin Price Shows Phenomenal Recovery: Is This Just the Beginning?

TAGGED: Bitcoin, Crypto Exchange
Share this Article
Facebook Twitter Email Copy Link Print
Previous Article VOC, Voice of Crypto, Bitcoin Bitcoin Price Analysis Hints a Possible Bottom, Says Crypto Analyst
Next Article Ethereum's Goerli Will Ethereum Manage to Breach $2,000 as the Merge Nears
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Binance

Follow US

Find US on Socials
Facebook Like
Twitter Follow
Instagram Follow
Youtube Subscribe

Subscribe to our Newsletter

Get Newest Articles Instantly!

Ledger
Popular News
Web3 Shorthand
Web3 Shorthand: A Glossary for Crypto Newbies
Voice of Crypto XRP
XRP Market Cap Smashes $20B As Ripple vs. SEC Case Stirs News
Quick-Tips-To-Avoiding-A-Fake-Crypto-Wallet
Quick Tips To Avoiding A Fake Crypto Wallet

Follow Us on Socials

We use social media to react to breaking news, update supporters and share information

Twitter Instagram Facebook Facebook Linkedin Youtube Spotify Medium Reddit Tik-tok Telegram
Voice of Crypto

Voice Of Crypto hits a beat with almost 15 million users, churning out the best news and content in the Web3, crypto and blockchain space

Subscribe to our newsletter

You can be the first to find out the latest news and tips about trading, markets...

  • Advertise With Us
  • About Us
  • Privacy Policy

Copyright © 2023 Voice of Crypto. All Rights Reserved

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?