With Bitcoin crossing the $100,00 threshold, MicroStrategy’s Bitcoin holdings have surged to a value of $41.6 billion, resulting in over $18 billion in unrealized gains, according to data from the company’s portfolio tracker.
Michael Saylor-led business intelligence firm now holds 402,100 BTC. With that stack of BTC, the company is set to see huge profits as BTC continues higher in this wild rally.
MicroStrategy just added 15,400 Bitcoin worth around $1.5 billion to its holdings on Monday. The business intelligence company has purchased Bitcoin for four consecutive weeks. The latest acquisition comes after a record-breaking $5.4 billion Bitcoin purchase earlier this month.
Coming Up Roses
MicroStrategy’s Bitcoin bet has paid off handsomely. The aggressive investments over the past four years (since 2020 when it first adopted the Bitcoin Treasury strategy) not only boost its portfolio but also its stock performance.
Data from Yahoo Finance shows that MicroStrategy shares have skyrocketed roughly 542% so far this year, a growth that has efficiently outperformed most S&P 500 indexes. The stock price is poised to revisit its previous high of $413 and eyes further growth since it typically moves in tandem with Bitcoin’s price movements.
Bitcoin surpassed $100,000 for the first time in history on Wednesday night. The rally has since extended, with BTC touching $104,000, according to TradingView data, registering a 4.5% increase within a day.
A number of key events during the day might contribute to growth. President-elect Donald Trump officially confirmed his nomination of Paul Atkins, a former commissioner, to lead the Securities and Exchange Commission (SEC).
Also during The New York Times’ DealBook Summit on Wednesday, Federal Reserve Chair Jerome Powell said Bitcoin is literally digital gold. Powell stressed that Bitcoin is not competing with the US dollar.
Bitcoin has surged 142% year-to-date, outperforming gold’s 17.8% gain. The Fed boss also stated that Bitcoin has “staying power” and mentioned the crypto-friendly stance of incoming President-elect Donald Trump in his speech.
MicroStrategy Urges Microsoft to Invest in Bitcoin, Will They Follow?
MicroStrategy’s Bitcoin success has inspired other companies to adopt Bitcoin as a Treasury asset. There’s a widespread expectation that Microsoft will join this growing list despite the fact that the company’s board of directors opposes the idea.
On December 1, Michael Saylor, Executive Chairman of MicroStrategy, presented a Bitcoin investment strategy to Microsoft’s board of directors. This followed a recommendation by the National Center for Public Policy Research to consider Bitcoin for Microsoft’s Treasury.
Microsoft stock has rallied 17% this year, reaching a market cap of $3.2 trillion. Yet, Saylor believes the stock still has plenty of room for growth, with Bitcoin bets.
In his brief presentation, Saylor stated that the investment could outperform traditional stock buybacks, potentially pushing Microsoft’s market value to $5 trillion. He forecast a $1.7 million Bitcoin price by 2034.
Saylor urged Microsoft to adopt Bitcoin as part of its financial strategy to stay ahead of anticipated technological and regulatory advancements in 2025. Microsoft’s shareholders will vote on December 10 on whether to add Bitcoin to the company’s balance sheet.
Saylor has encouraged major companies with large cash reserves to explore Bitcoin investment to enhance shareholder value. Recently, Rumble CEO Chris Pavlovski announced the company’s plan to allocate up to $20 million to Bitcoin. The decision came after Rumble’s social exchange about the idea with Saylor.
Bitcoin’s surge to $100,000 has sparked discussions among cryptocurrency community members. Many see this move as the next leg higher into the six figure price range.
El Salvador President Nayib Bukele, a noted Bitcoin bull, has proudly announced impressive profits from the country’s Bitcoin investments. As of now, El Salvador holds approximately 6,000 Bitcoin, valued at around $603 million.
With an average purchase price of about $44,700, the strategic investment has resulted in a remarkable profit of over 117%, or approximately $333 million.
