Highlights
- Strategy, previously known as MicroStrategy, bought 1,895 Bitcoin between April 28 and May 4.
- The company now holds 555,450 BTC.
- MicroStrategy plans to raise up to $84 billion for Bitcoin purchases.
Michael Saylor’s Strategy, previously known as MicroStrategy, has made another Bitcoin purchase. This time, the firm has acquired 1,895 BTC for $180 million, bringing its total Bitcoin holdings to 555,450 BTC.
Michael Saylor’s Strategy Purchases 1,895 Bitcoin
In a press release, Strategy announced that it had acquired 1,895 BTC for $180.3 million at an average price of $95,167 per bitcoin. The company has also achieved a BTC yield of 14.0% year-to-date (YTD). Meanwhile, MicroStrategy now holds 555,450 BTC, which it acquired for $38.08 billion at an average price of $68,550 per Bitcoin.
Strategy has also been on a hot streak, having acquired Bitcoin almost every week since the year began. Last week, Michael Saylor’s company acquired 15,355 Bitcoin for $1.42 billion, one of its largest purchases this year.
Amid this recent purchase, MicroStrategy’s stock price is in the red. Nasdaq data shows the stock is currently down almost 3% in pre-market trading, trading at around $383.
However, it is worth mentioning that the MSTR stock price is up just over 36% year-to-date. It also remains the best-performing asset among all major assets since Saylor and his company adopted the Bitcoin Strategy back in 2020. For context, the stock is up 210% in the last year.
Bernstein Predicts Other Companies To Adopt BTC Model
With Strategy’s Bitcoin plan flourishing, Bernstein analysts predict that listed corporates will follow suit and allocate around $205 billion in capital for BTC acquisition. They believe this capital allocation will be led by small, low-growth companies trying to emulate MicroStrategy’s Bitcoin treasury model.
For their bull case, Bernstein expects another $124 billion in inflows from MSTR alone, especially after MicroStrategy upsized its capital raise plans to $84 billion by 2027 for Bitcoin purchases. The company has already achieved 32% of this goal in just six months.
Meanwhile, the analysts explained why low-growth companies are more likely to adopt this strategy, noting that such companies with high cash have a better market fit with the MSTR Bitcoin playbook. These companies apparently have no visible road for value creation, and Strategy’s success offers them a rare growth path.
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