MicroStrategy Pushes Forward with Bitcoin Strategy Despite Market Crash
The post MicroStrategy Pushes Forward with Bitcoin Strategy Despite Market Crash appeared first on Coinpedia Fintech News
Since 2020, MicroStrategy has purchased Bitcoin for its treasury and holds 214,400 BTC. At the current Bitcoin price of $57,861, these holdings are worth approximately $12.41 billion.
Despite the company’s aggressive Bitcoin acquisition strategy, MicroStrategy’s stock price dipped by 6.95% last week, closing at $1,281.72. This marks a 27.86% drop over the past six weeks.
The downfall correlates with the broader market correction in the crypto world, as the BTC price crashed 10.92% last week. With an intense correction in the altcoins market, the FUD phase dominates the crypto market.
However, the stock has sustained above the crucial $1,200 level and has shown a year-to-date growth of 87.07% in 2024.
MicroStrategy Expands Convertible Note Offering
MicroStrategy, the largest corporate holder of Bitcoin, has raised its latest convertible note offering by $200 million from the original $500 million plan, totaling $700 million. The company also provided initial buyers an option to purchase an additional $100 million of the notes. The notes are priced to offer a 2.25% annual yield. Broker Bernstein set a $2,890 price target for MicroStrategy’s shares.
Metaplanet’s Bitcoin Acquisition Strategy
Similarly, Japanese company Metaplanet has purchased an additional 42 Bitcoin worth $2.4 million, bringing its total holdings to 203 BTC, valued at about $11 million. Despite Bitcoin’s recent dip under $56,000, Metaplanet’s stock price has risen, reflecting investor confidence in its Bitcoin acquisition strategy.
Metaplanet now holds 203.73 BTC, worth approximately $15.56 million, making it Japan’s biggest corporate holder of the digital currency. Metaplanet is adopting Bitcoin as a hedge against inflation and the weak yen. Thus, this demonstrates the growing trend of corporate investment in digital assets.
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