Microstrategy Buys $10M Worth of Bitcoin, MSTR Shares Down Over 60% Since February

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Microstrategy Buys $10M Worth of Bitcoin, MSTR Shares Down Over 60% Since February

On Tuesday, the publicly-listed business intelligence company, Microstrategy, announced the purchase of 229 bitcoins adding to the firm’s current stash of crypto. The company’s CEO Michael Saylor told his Twitter followers that Microstrategy now holds 92,079 bitcoins.

Microstrategy Stocks Up on More Bitcoin, Buys $10 Million Worth to the Balance Sheet

Microstrategy (Nasdaq: MSTR) has stepped in and bought the dip once again. On Tuesday morning (ET), the firm’s chief executive officer Michael Saylor shared the announcement on Twitter as he usually does. Alongside the CEO’s statements, he also shared the Form 8-K filing that was registered with the U.S. Securities and Exchange Commission. On Twitter, Michael Saylor wrote:

Microstrategy has purchased an additional 229 bitcoins for $10.0 million in cash at an average price of ~$43,663 per bitcoin. As of 5/18/2021, we hodl ~92,079 bitcoins acquired for ~$2.251 billion at an average price of ~24,450 per bitcoin.

The announcement comes after the company purchased $15 million worth of BTC on May 13, 2021. Following the purchase of $10 million worth of BTC on Tuesday, the CEO of the exchange Binance tweeted a response to Saylor’s announcement. “Legend,” Changpeng Zhao otherwise known as “CZ” tweeted.

Microstrategy Shares Drop More Than 60% Since First Week of February

Microstrategy has accumulated a lot of BTC since it started adding the crypto asset to its balance sheet in mid-August 2020. At that time, the business intelligence company said that BTC was “superior to cash” and a “dependable store of value.” Ever since then Microstrategy has been on a bitcoin buying spree and the company’s CEO Michael Saylor has been put on a pedestal by many crypto advocates.

Microstrategy Buys $10M Worth of Bitcoin, MSTR Shares Down Over 60% Since February

The Nasdaq-listed stock MSTR, however, has seen better days. MSTR shares tapped a high on February 9, 2021, but have dropped 62.3% since then. The company’s shares have been seemingly correlated in line with BTC’s price changes. As Bitcoin.com News reported earlier, stocks exposed to digital assets like COIN, RIOT, and CAN have all seen losses since the recent crypto market rout.

While crypto markets have recovered some losses, MSTR shares have seen a small increase in value after the opening bell on Tuesday morning.

What do you think about Microstrategy’s recent bitcoin purchase worth $10 million? Let us know what you think about this subject in the comments section below.

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