MicroStrategy has announced its latest acquisition of 5,445 BTC. The purchase, disclosed by the company’s co-founder and executive chairman, Michael Saylor, via a tweet on Sept. 25, signals the company’s unwavering faith in the leading cryptocurrency.
The acquisition saw MicroStrategy commit $147.3 million in cash, securing the Bitcoin at an average price of $27,053 per BTC. This strategic investment was detailed in a Form 8-K filing submitted to the United States Securities and Exchange Commission, revealing that MicroStrategy and its subsidiaries executed the acquisition between August 1 and September 24.
As of September 24, MicroStrategy’s consolidated Bitcoin holdings totaled an impressive 158,245 BTC, which were procured at an average purchase price of approximately $29,582 per coin, inclusive of fees and expenses, as stated in the filing. The aggregate purchase price for MicroStrategy’s entire Bitcoin portfolio now stands at a substantial $4.68 billion.
MicroStrategy’s Bullish Stance Amidst Bitcoin’s Price Movement
This new acquisition comes amid Bitcoin’s recent consolidation phase, with the cryptocurrency hovering around the $26,000 mark for several weeks. Despite briefly reaching $28,000 on August 29, Bitcoin experienced a dip to as low as $25,000 on September 11. At the time of reporting, Bitcoin is trading at $26,081, reflecting a 1.9% decrease in the past 24 hours, according to data from CoinGecko. Over the last seven days, Bitcoin has faced a decline of approximately 4%.
The company’s latest purchase underlines the company’s unswerving optimism regarding Bitcoin’s long-term potential. It follows their notable acquisition of 12,333 BTC for $347 million in June 2023, secured at an average purchase price of $29,668 per coin.
This strategic accumulation of Bitcoin coincides with MicroStrategy’s improved financial performance in Q1 2023, reporting its first profitable quarter since 2020 due to a one-time income tax benefit. The company sustained profitability in the subsequent quarter, disclosing $22.2 million in net income in early August.