Breaking: MicroStrategy Buys 27,200 BTC Worth Over $2B, MSTR Stock Jumps 8%

MicroStrategy has announced that it has acquired more Bitcoin for $2 billion and now holds 279,420 BTC. This comes amid the Bitcoin price reaching new highs, which puts its Bitcoin investment in unrealized profit of over $10 billion. Meanwhile, the MSTR stock surged 8% on the back of this announcement from the company.

MicroStrategy Acquires 27,200 BTC

MicroStrategy announced in a press release that it had acquired 27,200 BTC for $2 billion at an average price of $74,463 per Bitcoin between October 31 and November 10. This brings its total holdings to 279,420 bitcoins, which it acquired for a total of $11.9 billion and at an average price of $42,692 per bitcoin.

The company also revealed that it achieved a BTC yield of 7.3% quarter-to-date (QTD) and 26.4% year-to-date (YTD). The BTC yield is a key performance indicator (KPI), which “represents the percentage change period-to-period of the ratio between the company’s bitcoin holdings and its Assumed Diluted Shares Outstanding.”

This comes at a time when the Bitcoin price is reaching all-time highs (ATHs), which has already put the company’s investment at an unrealized profit of over $10 billion. The software company has continued to accumulate the flagship crypto since August 2020 as part of a ‘Bitcoin Strategy’ that its co-founder Michael Saylor developed.

Meanwhile, MicroStrategy continues to solidify its position as one of the largest Bitcoin holders. The company is currently the fifth largest Bitcoin holder behind Satoshi Nakamoto, Binance, BlackRock, and Grayscale. The company is ranked first among publicly traded companies in terms of Bitcoin holdings and holds 1.2% of BTC’s total supply.

MSTR Stock Jumps 8%

Nasdaq data shows that MicroStrategy’s MSTR stock is up 8% amid this announcement of the Bitcoin acquisition. The company’s exposure to the flagship crypto has always provided a bullish outlook for its stock price.

The MSTR stock is up over 300% year-to-date, outperforming Bitcoin and other major assets in the process. Interestingly, the stock is up over 1,000% since the software company adopted the ‘Bitcoin Strategy’ in 2020.

Crypto analyst Willy Woo recently predicted that MicroStrategy could see $10 billion in inflows if it eventually becomes part of the S&P 500. This could cause the stock to rally to $500.

Meanwhile, besides a potential S&P 500 inclusion, the stock’s trajectory is also bullish as MicroStrategy plans to keep buying more Bitcoin. The company recently announced plans to raise $42 billion through share sales and fixed-income securities to buy more BTC.