MicroStrategy recently unveiled that they acquired another 3,000 BTC this month, bringing Bitcoin holdings to 193,000 BTC. Interestingly enough: BTC recent price increase pushed these holdings past the $10 billion mark, while the software company is currently sitting on a huge amount of unrealized profits.
MicroStrategy’s unrealized profit reaches $5 billion
As disclosed in the company documentation submit with the Securities and Exchange Commission (SEC), its BTC holdings have now been purchased at an average price of $31,544. That means MicroStrategy’s Bitcoin investment now has an unrealized gain of almost $5 billion as Bitcoin trades just above $57,000.
MicroStrategy’s ‘Bitcoin Strategy’, led by its co-founder Michael Saylor, started way back in 2020 when the company started investing in the flagship crypto token. Saylor saw this as a way to do that hedge against inflation and diversify the company’s cash reserves. Since then, Saylor and his company have continued to aggressively accumulate Bitcoin.
Saylor’s confidence in Bitcoin was tested when the company’s investment suffered an unrealized loss during the height of the crypto winter, when BTC was trading below the $30,000 price level. Despite this, Saylor and MicroStrategy stayed true to their Bitcoin strategy. Instead of selling, they saw it as an opportunity to do so collect more BTC.
Saylor also recently made it clear that he and his company have no plans to liquidate their BTC holdings anytime soon. to report that “Bitcoin is the exit strategy.” This sentiment undoubtedly provides a bullish narrative for the flagship crypto, especially considering what could happen to the market if the company loses its Bitcoin.
MicroStrategy is currently BTC’s largest corporate holder and leads the charge as institutional demand for BTC keeps increasing. This demand mainly comes from the Spot Bitcoin ETFs, which together hold more BTC than MicroStrategy combined.
Find out that Bitcoin ETF trading volume surpasses $2 billion again
Bloomberg analyst Eric Balchunas revealed that newly listed Bitcoin ETFs crossed the $2 billion mark again on February 27. This was the second day in a row that they achieved this, have recorded a record high of $2.4 billion in trading volume on February 26. Specifically, the world’s largest asset manager, BlackRock, appears to have its own run.
Balchunas noticed this Black rock had broken his record again with the iShares Bitcoin ETF (IBIT) It is believed that the impressive demand for these funds is another reason why BTC’s price continued to rise.
At the time of writing, Bitcoin is trading around $57,100, up in the past 24 hours. facts from CoinMarketCap.
BTC adds over $2,000 in six hours | Source: BTCUSD on Tradingview.com
Featured image of Milk Road, chart from Tradingview.com
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