Bitcoin rose in price briefly after Microstrategy announced on Thursday its plans to sell more shares. According to the company, the funds generated from the sale will be funneled into the purchase of more Bitcoin, a move that will most likely propel the asset’s price.
According to a report by Bloomberg, the leading cryptocurrency registered a 0.32% rise to hit $98,747 at 11:30 in Singapore. The asset also registered an intraday high of $99,876. Like Bitcoin, the surge affected other altcoins like Dogecoin and Ethereum, with Solana also seeing a 0.2% surge after its massive drop yesterday.
Bitcoin pumps as the market anticipates Microstrategy’s big purchase
The company’s push to help Bitcoin sentiment is likely not over seeing that it is still actively pushing to purchase more portions of the asset. Arbelos Markets trading director Sean McNulty noted that the new optimism is a result of the Microstrategy Bitcoin purchase that will happen soon.
McNulty said the anticipation is the reason why the market is up now. “The market is being forward-looking about MicroStrategy’s Bitcoin buys, and that’s been the single biggest reason for the market to go up. Watching MicroStrategy news is becoming a big part of my day,” he said.
According to its filing with the Securities and Exchange Commission (SEC) on December 23, the company is attempting to increase the number of its authorized Class A common stock and preferred stock. If the SEC gives the go-ahead, Microstrategy will be allowed to issue more shares, which will enable the firm to raise more money. Once all that is done, the company can continue its Bitcoin purchase.
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