Strategy Continues Bitcoin Treasury Expansion with Latest Acquisition
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Strategy Increases Bitcoin Holdings by 390 BTC
Michael Saylor, co-founder and chairman of Strategy, recently announced an exciting update in a social media post: the acquisition of an additional 390 BTC, valued at a substantial $43.4 million. This latest purchase reflects an average price of $111,053 per Bitcoin, underscoring the company’s ongoing commitment to expanding its digital asset reserves.
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Details of the Recent Acquisition
This acquisition follows Saylor’s regular Sunday update, humorously captioned as “It’s Orange Dot Day,” which is part of Strategy’s Bitcoin portfolio tracker. According to a filing with the US Securities and Exchange Commission (SEC), the company funded this purchase using proceeds from its STRK and STRD at-the-market stock offerings. As a result, Strategy’s total Bitcoin holdings have reached 640,808 BTC, with a cost basis of $47.44 billion. Given the current exchange rates, these assets are now valued at $73.93 billion, yielding a profit margin of approximately 55.8%.
Comparative Analysis
Despite the sizeable nature of this acquisition, it represents a modest increase compared to previous purchases made earlier in the year. Last week’s acquisition, valued at $18.8 million, pales in comparison to this week’s investment, yet both reflect a strategic move by the treasury firm to fortify its Bitcoin position. CryptoQuant community analyst Maartunn has highlighted a slowdown in Strategy’s accumulation pace, attributing it to a decline in equity issuance premiums from 208% to just 4%, making capital harder to raise.
Market Trends and Insights
Examining the broader market, Strategy’s stock price has fallen by 50% from its all-time high (ATH), a trend mirrored by Bitcoin itself, albeit to a lesser extent. Despite the deceleration in acquisition scale, Strategy remains the largest corporate Bitcoin holder globally, continually reinforcing its market position.
USDT Market Dynamics
In related developments, the market cap of USDT, the largest stablecoin, has experienced significant growth. According to Maartunn, this increase is evident from a highly positive 60-day market cap change, suggesting a considerable inflow of capital into the stablecoin. This trend surpasses the 30-day simple moving average (SMA) and historically indicates a potential short-term upswing for Bitcoin.
Bitcoin Price Movements
Recently, Bitcoin has witnessed a promising recovery, with its price rebounding to the $115,500 level. This upward trajectory indicates a positive market sentiment and potential for further gains.
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