so microstrategy is actually a fool farm

MicroStrategy Chairman Michael Saylor announced today that his firm purchased another 5,262 Bitcoin. This buy cost $561 million and continues his plan of steady BTC acquisition.

However, since the firm was added to the NASDAQ-100, rumors are circulating that the company may pause these purchases in January.

Saylor Buys Even More Bitcoin

With the latest acquisition, this marks MicroStrategy’s third Bitcoin purchase in December alone. Just last week, the firm purchased $1.5 billion worth of BTC at an average price of $100,386. Under Saylor’s direction, the firm has become one of the world’s largest Bitcoin holders and hasn’t shown signs of stopping.

“MicroStrategy has acquired 5,262 BTC for ~$561 million at ~$106,662 per bitcoin and has achieved BTC Yield of 47.4% QTD and 73.7% YTD. As of 12/22/2024, we hold 444,262 BTC acquired for ~$27.7 billion at ~$62,257 per bitcoin,” Saylor claimed.

Since the generalized crypto bull run in November, Saylor has clearly signaled an intention to buy huge amounts of Bitcoin. So far, the asset’s price has been skyrocketing, generating high yields. Recently, he also teased a large BTC buy to mark MicroStrategy’s inclusion in the NASDAQ-100.

Bitcoin (BTC) Price Performance. Source: BeInCrypto

However, rumors are circulating that MicroStrategy may enact a possible pause to these BTC purchases starting in January. Since the company was added to the NASDAQ-100 and its quarterly earnings reports are coming up early next year, Saylor may implement a self-imposed blackout period that would preclude any Bitcoin purchases.

The company’s recent actions have generated high yields, but they may present a double-edged sword for itself and the broader market. There are considerable concerns that Saylor materially contributed to “de-decentralization” in the Bitcoin economy, and his firm has also outpaced Bitcoin’s intense growth rates.

So, BTC’s volatility could have an outsized impact on MSTR’s stock market performance. In the past week alone, Bitcoin has dropped nearly 12%, and MSTR’s stock price is also down by over 15%.

MSTR Stock Price Weekly Chart. Source: Google Finance

For now, however, this pattern of BTC buying appears stable. Regardless of whether or not Saylor will enact the rumored pause in January, further high-profile buys in the last week of December are still plausible.