Bitcoin Rallies Past Terra Crash Level in Win for Bruised BullsBitcoin Rallies Past Terra Crash Level in Win for Bruised Bulls
What’s Behind The Bitcoin Price Rally, New Role As CEO, And AdoptionWhat’s Behind The Bitcoin Price Rally, New Role As CEO, And Adoption

Bitcoin’s (BTC) recent rally to a yearly high of more than $37,000 has pushed MicroStrategy‘s multibillion-dollar bet on the flagship digital asset into a whopping profit of more than $1 billion.

The premier cryptocurrency climbed to nearly $38,000 on Thursday, marking its highest point since May 2022. At the time, the crypto market witnessed a significant downturn, hitting a low of approximately $16,500 due to the collapse of Terra’s algorithmic UST stablecoin and the subsequent fallout that affected various crypto firms, including FTX and Celsius.

However, Bitcoin has made a remarkable recovery this year, posting a year-to-date gain of over 100%, largely fueled by growing optimism surrounding the potential approval of a spot BTC exchange-traded fund (ETF).

This price surge has translated into substantial gains for MicroStrategy, with their investment now showing a paper profit of $1.2 billion as of Nov. 9, according to data from BitcoinTreasuries.

Per MicroStrategy’s third-quarter earnings report, the enterprise software company, BTC’s largest public holder, has purchased a total of 158,400 BTC for $4.68 billion as of Sept. 30. The firm further disclosed an average purchase price of $29,586 per coin.

With Bitcoin currently trading at $36,428, the Michael Saylor-led company is enjoying an impressive 23% gain on each of its BTC.

Additionally, the company’s exposure to Bitcoin has also significantly boosted its stock performance, with shares surging around 160% this year, according to Tradingview data.

Michael Saylor, MicroStrategy’s executive chair, is a prominent advocate for Bitcoin and has consistently maintained that the top cryptocurrency is a revolutionary monetary network. According to him, Bitcoin’s scarcity and decentralization positions it as a superior long-term investment and a hedge against inflation.

Saylor recently said:

“Bitcoin offers corporations an innovative strategy to preserve their capital and create shareholder value by leveraging their balance sheets with $BTC, providing an escape from the destructive cycle of expensive acquisitions, buybacks, dividends, & debt.”

Posted In: Bitcoin, Investments

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