Topic: MicroStrategy Buys $250M in Bitcoin, Calling the Crypto ‘Superior to Cash’ - page 16. (Read 24188 times)

Michael Saylor had previously planned the Bitcoin 100K party after seeing the trend of Bitcoin prices going up. Maybe the historic moment for him to throw that party has arrived, because today the price of Bitcoin touched $100k dollars. Such an increase in the price of Bitcoin may have taken many by surprise. Yesterday also the price of Bitcoin was as low as 96 thousand dollars but today Bitcoin touched $100k in one jump. Bitcoin's market cap has touched $2.03 trillion when the price of Bitcoin has increased.

MicroStrategy's Investment Portfolio Grows to $41.37 Billion After Bitcoin Price Touches $100K.

Michael Saylor previously said,

MicroStrategy might one day own all of the Bitcoin. Or at least, a sizeable portion of it. This is not good for Bitcoin's decentralization. Even if economic holders can't determine network consensus. They can just influence developers to establish their own rules by using their large BTC holdings as some sort of "bribe". I'd imagine Bitcoin Core becoming compromised as a result. Luckily for us, there's always the choice of "forking them off". The community can make a new fork, excluding big corporations and governments from the system. All in the best interests to help preserve equality, fairness, and most of all, decentralization.

Nonetheless, Saylor is right that Bitcoin is superior to Cash. It's even superior to Gold. The time will come when BTC will render these assets/commodities obsolete. It will become the most valuable asset on Earth. Just you wait and see. Perhaps, BTC will become the "One World Currency" many were talking about? One can only imagine.

 Source Link: https://cointelegraph.com/news/microstrategy-can-ignore-bitcoin-bear-market-price-crash-20k

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MicroStrategy has added risk to its balance sheet and I think it is not possible to go down, because they have invested in Bitcoin from a very low price to the current time. They have recorded the price of Bitcoin for a total of one year (current time) from December 2023 to December 2024 and mentioned how much Bitcoin they have deposited. So you notice that now that this current price is mentioned, it is currently the highest amount of benefit that will be added to their wallet if the price of Bitcoin goes up further. In turn, they have deposited the most Bitcoin in this month of November, which is mentioned in this balance sheet, so far Michael Saylor has been able to deposit 402100 Bitcoin.

Cannot stop the weak hands from selling.  There is always going to be buying and selling, and surely one of the theories would be that once the price breaks above $100k it might not come back down, and like you said, those guys would be stuck with a dilemma because they ended up selling too much too soon, which is a common theme..

There are so many folks who are happy with profits in the arena of 80% or 3x or 5x even.. but then they still may end up selling too much too soon and not appreciating that if they hang onto most of their corn (and hardly sell any, if they are tempted to sell), the they will end up getting compounding of their value, which surely many long term HODLers have already come into bitcoin with such a mindset and they might not be selling much of their stash at, if any, so that the may well end up having average BTC prices that are below $20k or even below $10k, so even if they shave off 2-5% of their BTC, that might amount to the value of their whole investment into BTC... so they may have even already largely gotten all of their principle back since so far into profits, yet the newbies get overly excited by quite low levels of profits and not even realizing the asset that they are dealing with...

I am not too worried that there are enough sellers, even at these prices.  Sure we could dip more, but once several of these weak hands have sold all of their coins, they won't have any left to sell, then what? Then the price goes up because there are no sellers left, and then we all find out that resistance at $100k was not as it had previously appeared to be.

Do you know what is happening with the price now? People, retail, who bought at 40 or 50 thousand are selling now. These are people who have made a 2X in a short time. Some sold in the first wave, and others who expected to sell once past $100K, as the price didn't just beat are lowering their sell orders to around $95K.

Meanwhile others like Saylor are buying at this price because they know that buying bitcoin at less than $0.1M is a bargain. And those who are selling now when they see the price continue to rise and go to $150K to $200K will have to buy much more expensive than they are selling now.

It is quite likely for regular people there are various points in which we have enough and/or more than enough for our own consumption needs and/or the needs of our family to support the standard of living that we want, including even increases that we might want in our standard of living.

Saylor/MSTR seems to be trying to prove some other point and seems to be employing a kind of game theory to taunt other companies into following his lead in terms of employing various means to accumulate more and more bitcoin.  It does seem that Saylor/MSTR does create some central points of failure, yet even if he were to get 5 million bitcoin (which would be 25% of all of the bitcoin, I doubt that he has more power over the network even though he has more purchasing power and other kinds of ways of expressing power in the real world in terms of having a lot of wealth.

It does seem to be way more in reach as a possibility that he might be able to accumulate 1,000,000 bitcoin, but getting to 5,000,000 might be a lot more difficult, since other folks are also going to want bitcoin and to bid up the price of bitcoin along the way of his ongoingly wanting to acquire bitcoin.

Just in today's dollars terms, I have made quite a few posts in recent times, that if a person is wanting to have a sustainable income of $6k to $7k per month, then he couthan ld get started with that kind of a withdrawal rate at merely having slightly less than 20 BTC, and sure having a bit more bitcoin for a cushion does not hurt, yet many of us might want to consider what is the level of sustainable income that we want, and we can aim to achieve that number of bitcoin, including that the number of bitcoin needed is ongoingly going down for the same kinds of real world needs, in spite of the debasement of the dollar and other fiat currencies, bitcoin is going up faster than such debasement and faster than any other assets and/or currencies.

There could be various ways to attempt to cushion that you have enough BTC before stopping accumulation of it and beginning to withdraw it, including that the person who feels they need 20 BTC might wait until he has 40 BTC before starting to withdraw or perhaps just to either withdraw at lower rates or to wait a bit of time before starting to withdraw and the BTC value is likely to continue to go up with the passage of time as it has done historically, and surely I like to use the 200-WMA rather than spot price to valuate BTC holdings in order to NOT get too lured into over optimism that might come from overly focusing on BTC spot prices...even though BTC will be sold at spot prices, BTC spot prices are not very reliable for considering base and/or conservative measures of value to assure that you don't start to withdraw too much BTC from your BTC holdings too soon.


Saylor seems to be pretty creative in his employment of strategies, so surely he might want to be a bank to the extent that he does not end up becoming an object of national security.  We will have to see one leg of the journey at a time, and even his late October announcement of acquiring $42 billion in bitcoin in the next 3 years seems to have had been an understatement in regards to how much bitcoin he and his company is going to be able to accumulate in the next 3 years, especially since in the past month or so since he made that announcement, they have acquired more than $10 billion in bitcoin, so they are well over a quarter of the way to their stated goal in only 1 month, and as long as investors keep throwing money at MSTR/Saylor, they are going to take it and buy bitcoin with it without overly concerning themselves in regards to the current BTC price..  I see Popkon6's post above says that they are half way to the $21 billion goal, which might be true.. and his post also says that they are changing (and increasing) the goal amounts... which sounds quite typical of a kind of understate and over deliver kind of approach in regards to how much the market (people in the market) seem to want to buy into various MSTR versions of their BTC accumulation strategy projects.

MicroStrategy Is Halfway Through Share Sales to Buy Bitcoin

Just over a month after announcing plans to raise $21 billion through stock sales to help fund additional purchases of Bitcoin, MicroStrategy Inc. is already almost halfway to its goal.
The company sold 3.7 million shares over the past week and used the proceeds to buy another $1.5 billion worth of Bitcoin, the fourth consecutive weekly purchase announced by the crypto hedge fund proxy.

The Tysons Corner, Virginia-based firm has only approximately $11.3 billion of stock issuance under its so-called at-the-market share program left to reach its three year goal, according to data compiled by Bloomberg. The company also aims to raise $21 billion through fixed income securities by 2027 and has been increasing those offerings as well.

Source link: https://finance.yahoo.com/news/microstrategy-halfway-share-sales-buy-185744835.html

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They have bought Bitcoin for the fourth week by selling shares of MicroStrategy Company, Michael Saylor has sold his company shares, it is a very good decision. Because Bitcoin is the only hope that will bring success in the future, their Bitcoin holding has attracted more and more large institutions. And they have deposited a total of 402100 Bitcoins, the first and largest company in the world to deposit Bitcoin regularly.

Of course, they wouldn't panic because they know that's how bitcoin price movement works because since August 11, 2020 when MicroStrategy started buying bitcoin 21,454 BTC at an average price of $11,652. This price of bitcoin has being on the uptrend after several pump and corrections, so it wouldn't be something new to them. Also I believe that they do have board of shareholders meeting where the power of exponential value of bitcoin will have been discussed and lectured which gives them strong confidence and believe in bitcoin because everything is playing out right on their nose. They're invetors that are benefiting from two sides, MicroStrategy company shares and will also benefits from MicroStrategy bitcoin share, which makes it a win win for them all.

My bad, I overlooked that piece of information in the tweet... You are of course right here.


You have phrased this very well! Power in average cost and power in quantity held and Saylor made a golden formula out of it combining both while seemingly putting more emphasis on quantity held and he does that because he has a goal, which he stated sometime ago saying they aim for 1,000,000 BTC, and he knows that it is still early days, especially from the perspective of a big player like MSTR. If they aim at becoming the bitcoin bank and someone wants to compete with them in order to reap in a piece of the cake, there is no other way but to acquire a competitive quantity of bitcoin themselves. And once this market matures and others crave this gigantic opportunity, MSTR will already be in the driving seat and enjoy other big players driving up the price, thereby making MSTR even stronger.

Quantity held is so powerful because there is nothing as strictly scarce as bitcoin. It is very simple: my holdings / 21,000,000 is my position in the global market once and forever. The denominator will never change. Owning 1/21th of a scarce asset with this particular set of properties is the jackpot.

But do you think there is a sweet spot of owning too much, scaring away others from getting into bitcoin on a large scale (if even possible anymore)? MSTR holding 5,000,000 BTC would perhaps not be as good for the asset as one player holding 1,000,000 BTC.


I doubt that even if BTC were to take a nosedive like a 30% drop that any considerable number of MSTR investors would jump ship. There is so much cash in the world and other, not very durable assets that I believe billionaires would rather seek to liquidate and use the opportunity to get into MSTR-like vehicles instead of jumping ship and abandon bitcoin. Saylor has created a self-enforcing machinery, but as I said, is there a sweet spot and will he stop at 1,000,000 BTC and build his bitcoin bank? Remains to be seen, but so far he has been the one who has been doing what I thought a company like Blackrock would be doing because they could have easily afforded it.

With the way MicroStrategy has been buying bitcoins continuously since 2020 they will reach the position you mentioned very soon. Already they have crossed the Grayscale. Maybe their next goal is to get past Blackrock. With Michael Saylor's continuity of Bitcoin purchases it is clear that they will soon be one of the top Bitcoin holders in the world.

MicroStrategy purchased a total of BTC149,880 Bitcoins between November 11th and December 2nd, 2024. Maybe this company has set the record for buying the most bitcoins in their bitcoin investment history in just one month. They have become the largest bitcoin corporate by regularly buying bitcoins.

So far so good he Michael Saylor and his company Microstrategy has purchased 402,100 BTC and hodling it currently. Microstrategy purchased 15,400 BTC recently which giving the total to 402,100 BTC and it just 2% of the Total Number of Bitcoin (21 millions Bitcoins) in circulation. Which means he Microstrategy still has a long way to go. Through there is no competition in Bitcoin investment but everyone likes to acquire more so they can hold it for long term.

Saylor is purely using the DCA approach to acquire Bitcoin whenever he has funds.

It seems to me that if the current average cost per BTC is $58,263, then that would be the number that would be considered to be showing that they are buying a lot of BTC above and below that price.. perhaps an equal amount above and an equal amount below?

Surely when this thread started, we saw that the first couple of purchases of MSTR and Saylor were in the sub-$10k arena, and then right around $11k, and surely there are some folks who might have thought that keeping average cost per BTC is important, even though surely there is power in quantity of BTC held, even if the average cost per BTC is higher.  I have frequently attempted to make those kind of comparisons of guys who might have had made some lump sum BTC purchases, and then just let their investment ride as compared to the guys who continued to buy BTC for several years, and surely there are advantages in having low costs per BTC, but there are also advantages in amassing a decently large stash of BTC.

One interesting angle for Saylor is that his own track record of buying consistently with company funds, but then becoming more and more creative with the employment of various financial instruments, these behaviors have contributed to more and more funds coming to Saylor to help them to buy more and more BTC, so even if the BTC price is going up, there is no real disincentive to stop buying BTC so long as folks are ready willing and/or able to give money for such purpose, including giving that money to Saylor for less than 1% annual interest rates and terms that are tending to be longer than a whole cycle... so it has so far turned out to be a win/win for Saylor/MSTR and shareholders to be able to continue to build the BTC stash of MSTR and even building the BTC stash of the existing shareholders, even though Saylor has the true rights, responsibilities and discretion regarding how to manage such BTC holdings, and as long as everyone continues to profit then it becomes less likely anyone will claim that Saylor has been mismanaging the BTC or the related money that has been growing as well. Also if Saylor/MSTR continues to be quite transparent regarding what they are doing, then it is less likely that any shareholder(s) would be able to make any strong claims that he had tricked them in regards to the strategy that he has been employing... though surely there are Saylor/MSTR haters that might be wanting to find fault and/or to intervene in what he has been doing and plans to continue to do.

Damn slowly but surely the number of their BTC holdings becomes scary in a positive sense. It is fun to follow Saylor because most here in this thread probably remember his first appearances when he said that they will start and never end buying BTC so to say. I think a lot of people thought he is just bragging about something he can't live up to. But reading the number 402,100 while knowing what BTC has gone through recently in terms of price, I think even the last doubter has lost hope that Saylor could turn out to be a blatherer.

I feel like it is almost the opposite by now: the higher the price, the more bitcoin MSTR buys and I think I am not actually wrong about it. The majority of their holdings have been bought +$50,000, isn't that right? Anyone can tell from the top of their head? Or it could be something around 50%, but I remember that the number increased significantly just recently while the price was going through the roof.

Every time I read his tweets about new purchases, I am thinking he has created a financial perpetuum mobile that allows him to purchase new bitcoin with the newly purchased bitcoin, which in turn allow him to buy new bitcoin, ... Because his balance sheet keeps growing and so does the trust in it and at some point he gains control over the market to some degree. MSTR is most likely the most influential player by now with respect to engendering trust and promote bitcoin publicly.

MicroStrategy has acquired 15,400 BTC for ~$1.5 billion at ~$95,976 per #bitcoin and has achieved BTC Yield of 38.7% QTD and 63.3% YTD. As of 12/2/2024, we hodl 402,100 $BTC acquired for ~$23.4 billion at ~$58,263 per bitcoin.


https://x.com/saylor/status/1863569873713955156?t=L0FFB7JkOVn_IfaiY55XtQ&s=19

Microstrategy's total invested bitcoins today are BTC402,100. This company is buying bitcoins at the speed of a train. They are not stopping at anything, they are constantly buying bitcoins. They are already the number one public company in the world for Bitcoin investment. With the way they are constantly buying bitcoins, they will soon be number two or three on the list of the world's largest bitcoin holders.

Microstrategy already owns BTC402,100 Bitcoins. At the moment their stock value is around $39.13 billion. Enter here to find out how many assets this company has and how much their stock has grown. As the value of Bitcoins increased, so did the value of their stock.

https://saylortracker.com/



Review Microstrategy Bitcoin holdings chart and Bitcoin purchase history. https://treasuries.bitbo.io/microstrategy/

I wonder if there is any analysis of MSTR? What is the price of underlying assets, and how much the stock is overpriced?

If I am just looking at the chart, then maybe if they keep the size of their green dots the same on the chart, then Saylor/MSTR would continue to buy BTC on regular bases in order to cause there to be more green dots and inabilities to see the blue line between the green dots.  

I would imagine that by the time, Saylor tweets about something like green versus blue, Saylor/MSTR has made most if not all of their BTC buys, so the announcement of the specifics of what they buys were will soon follow, perhaps to be announced by tomorrow morning?

In general, what you describe, which is a way of trying to time the market is not a good strategy for anyone. He himself in an interview says that he made hundreds of millions buying Apple, Facebook and others more than ten years ago, starting with low capital, but he can't time the market. Neither with companies nor with bitcoin. What he does is to look for the best asset he can find, at that time those technology companies and today bitcoin, and buy as soon as he has money available, which is nothing more than a form of DCA.


By the way, he has a way of saying things lately that is a bit cryptic. How can there be imbalances there? So far there haven't been.

I am not suggesting that Saylor is waiting with those extra funds (at least not with all of his funds).  It seems that continuously Saylor has funds coming in and he is buying BTC with significant portions of the new funds coming in, yet if the cash reserves are growing at the same time, there could be additional buying of BTC that would end up getting deployed at certain dip levels that he chooses some parameters for such.

There are no reason that both strategies of buying all the time and buying dips could not be followed, and surely there are always trade offs when some funds are held back for buy BTC on dips, yet when the BTC buys are consistent, persistent and ongoing, then there also might not be a lot of prejudice to the overall bitcoin portfolio if some funds are still held back in order to potentially buy BTC on dips.

I am not against the idea of holding back funds for buying on dips, especially for anyone (or institutions or governments) who has already accumulated a significant amount of BTC.  It makes way more sense for someone who has already bought a lot of BTC at various prices to have some cash in reserves for buying on dips as compared with someone who might keep funds in reserves for buying on dips, but they are employing a waiting strategy rather than a buying BTC regularly strategy.  

From my perspective, waiting to buy BTC is not a great strategy for preparing for UP for anyone who is a low coiner or a no coiner or for anyone who is not sufficiently prepared for up.. . and surely I doubt that Saylor or MSTR would fit into a category of not being sufficiently/adequately prepared for up...even though the overwhelming majority of the worlds population of individuals, institutions and governments fit into the category of not being sufficiently/adequately prepared for up.  Many of us on this forum should not necessarily fit in such category, yet there are some of us who do fit in the category of not being sufficiently/adequately prepared for up, meaning that they are holding back capital to either wait for dips and/or to fail/refuse to ongoingly, persistently and consistently buy bitcoin. These are individual choices regarding how much BTC to buy right away and/or regularly versus figuring out how much waiting might be reasonable strategy (or combined strategy).

Michael Saylor might not wait to buy the dips. Just a few hours ago he announced again that they will buy Bitcoin. He made similar announcements a few more times even bought bitcoins afterwards. The price of Bitcoin in the market is very high (almost $97,134) at the moment and his company is still ready to buy Bitcoin.

Maybe Microstrategy is going to buy Bitcoin very soon.


https://x.com/saylor/status/1863206708366995675?t=y5fYuMpvJ7fyaH8Upr6U2A&s=19