MicroStrategy Buys Additional 29,646 Bitcoins (BTC) for $650 Million During Recent Correction

Bitcoin-vs-GoldBusiness Intelligence firm MicroStrategy knows how to make the most of the Bitcoin (BTC) price correction. As Bitcoin corrected over 5.5% in a marketwide correction, MicroStrategy director Michael Saylor announces the purchase of an additional 29,646 Bitcoins (BTC) for an aggregate price of $650 million.

The massive fund infusion in Bitcoin comes after MicroStrategy completed $650 million of convertible notes last week. With the latest purchase, MicroStrategy’s aggregate BTC holdings cross 70,000. It also takes the company’s total investment in Bitcoin to $1.125 billion at an average price of $15,964 per BTC.

In the official announcement, MicroStrategy CEO Michael Saylor writes:

“The Company continues to operate in accordance with its Treasury Reserve Policy and currently holds approximately 70,470 bitcoins. The acquisition of additional bitcoins announced today reaffirms our belief that bitcoin, as the world’s most widely-adopted cryptocurrency, is a dependable store of value.  We believe the proactive management of our balance sheet, combined with the improved revenue and profitability performance of the Company, have been significant factors in the recent appreciation in our stock price.”

The recent fund infusion comes just at a time when the markets are under a massive selling spree. Michael Saylor has been endorsing Bitcoin (BTC) for a long time calling it the perfect hedge against the massive money printing by the Fed and the rising inflationary pressure.

Institutional Inflows Key to Bitcoin Price Surge

Last week, the Bitcoin (BTC) price surged all the way to above $24,000 following big institutional announcements. However, after a 20% surge in a very short period, Bitcoin struggled to hold that level and has finally entered a correction.

Earlier today, JPMorgan analysts wrote that institutional inflows in Bitcoin funds are key to keep the momentum going further. Well, the latest investment from MicroStrategy comes just at the right time.

On the other hand, crypto markets have entered deep correction despite the $900 billion stimulus deal by Congress on Sunday, December 20. Although the stimulus package will put more liquidity into the markets, the rising COVID-19 cases are creating further concern.

London has reported a new COVID-19 strain that is very fast-spreading and deadly. Several countries have issued a ban on flights coming from the U.K. Markets across Europe and Asia corrected heavily today.

The post MicroStrategy Buys Additional 29,646 Bitcoins (BTC) for $650 Million During Recent Correction appeared first on Coingape.

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