On Wednesday , Bitcoin maximalist Michael Saylor announced that MicroStrategy had acquired 2,500 Bitcoins. MicroStrategy currently holds over 132,500 bitcoins, which were acquired for more than $4 billion, at an average price $30,397 per Bitcoin according to an SEC filing.
MicroStrategy’s Bitcoin purchases have been a bullish sign for the BTC market. However, Bitcoin prices have not shown any significant movement since the report.
MicroStrategy Steadily Increases Bitcoin Holdings During a Dip
Between November 1st and December 21 MicroStrategy, through its wholly owned subsidiary MacroStrategy, purchased 2,395 bitcoins for approximately $42.8 million.
MacroStrategy also sold nearly 704 bitcoins to earn $11.8 million in cash proceeds. The average price was almost $16,776 per bitcoin on December 22 for tax advantages. This was the first time MicroStrategy had sold Bitcoin. Two days later, MacroStrategy bought almost 810 bitcoins in exchange for $13.6 million cash.
MicroStrategy, along with its subsidiaries, had 132,500 Bitcoin in their possession as of December 27, 2022. This amounts to nearly $4.03 trillion. This means that the average Bitcoin purchase price is $30,397
MicroStrategy reported that its total Bitcoin holdings were 130,000 BTC in September. This was after purchasing around 301 Bitcoins from August 2 through September 19, 2022. The company also sold $500 million of Class-A MSTR shares through investment bank Cowen & Co. as well as BTIG LLC. The funds were used to ‘general corporate purposes’, including the purchase of bitcoin.
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Bitcoin Price to Rise Above $17,000 Now
Bitcoin’s price is currently at $16,700. This is a 1% decrease in the last 24 hour. Bitcoin’s 24-hour low and high are $16,608 (or $16,839), respectively.
The Crypto Twitter news about MicroStrategy did not make a significant impact on Bitcoin’s price. People remain optimistic about Bitcoin price recovering at least $16.8K.
Since mid-November, Bitcoin traded sideways at the $16.8K mark. The recent dip below the support level in 24 hours has triggered selloffs of altcoins.
Crypto analysts believe that Bitcoin’s monthly close above $16,900-17,000 is critical for a bullish rally by 2023.