Crypto Rally: How the rise in the value of Bitcoin is “good news” for MicroStrategy

As cryptocurrencies extended their gains in Asian trading, Bitcoin hit a near 18-month high. Bitcoin rose over 6% to $35,198 (around Rs 29.2 lakh) on Tuesday (October 24), its highest level since May 2022. It surged 10% on Monday in its best session in almost a year. The crypto rally brings “good news” for MicroStrategy’s bitcoin (BTC) holdings, which have once again become profitable.

MicroStrategy, a US-based company that provides business intelligence, mobile software and cloud services, owns 158,245 bitcoins with an aggregate purchase price of approximately $4.68 billion. This translates to an average price of $29,582 each. With the October 24 crypto rally, the Bitcoin bet for the company is in the green at around $6,000 per coin.

MicroStrategy in “green”
On Tuesday, October 24, the price of Bitcoin rose 11%. For the first time this year, the value of Bitcoin reached $33,623 (approximately Rs. 27.9 lakh). In fact, Bitcoin has now reached a 16-month high at the current price. Optimism among community members over the expected US approval for BTC ETFs is fueling the market with hope. Over the last day, the value of BTC increased sharply by $3,356 (approximately Rs. 2.78 lakh).

MicroStrategy founder and chairman Michael Saylor began buying Bitcoin in 2020. An avid Bitcoin supporter and buyer has referred to Bitcoin as digital gold. He said the asset would deliver the best returns to shareholders.

Bitcoin’s value peaked in November 2021, but it fell by almost 80% in 2022, causing the company’s fortunes to plummet. The company sold 708 bitcoins in December 2022, worth $11 million at the time. She stepped up her purchases in 2023 and bought 5,445 Bitcoins for around $150 million.


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