What Happened?
MicroStrategy (MSTR) will become the first Bitcoin company to join the Nasdaq 100 index on December 23.
Joining the Nasdaq 100 means that the company will become a part of the global capital markets and is expected to continue driving Bitcoin prices to grow.
MicroStrategy's success may create new market opportunities for other Bitcoin-related companies. Founder Michael Saylor hinted on social platform X that cryptocurrency miner MARA Holdings might be the next Bitcoin company to join the Nasdaq 100 index.
MicroStrategy Becomes the First Bitcoin Company to Join the Nasdaq 100 Index
On December 13, 2024, Nasdaq announced that MicroStrategy (MSTR) will officially be included in the Nasdaq 100 index on December 23, becoming the first Bitcoin-related company to enter this index.
The Nasdaq-100 Index is a stock market index compiled by the Nasdaq Stock Market that tracks the 100 largest companies listed on the Nasdaq exchange that are not in the financial sector.
These companies come from various industries, primarily in technology, consumer goods, healthcare, and biotechnology, including industry giants like Apple, NVIDIA, Microsoft, Amazon, Meta, and Tesla. Each year, they are restructured based on market capitalization rankings as of the last trading day of November.
Led by Bitcoin supporter Michael Saylor, software company MicroStrategy has been actively incorporating Bitcoin into its balance sheet since 2020 and has now officially become the 40th largest company in the Nasdaq 100 index.
What Does Joining the Nasdaq 100 Index Mean?
After this news was released, it quickly attracted the attention and discussion of people in the crypto circle. Among them, CoinDesk senior analyst James Van Straten pointed out the significance of 'MicroStrategy entering the Nasdaq 100 index' as a milestone. He stated, 'MicroStrategy entering the Nasdaq 100 index could be the second biggest event of 2024, second only to the U.S. approving the launch of a spot ETF.'
Being included in the Nasdaq 100 means that MicroStrategy is one of the top 100 stocks by market capitalization on Nasdaq and will be included in the Invesco Nasdaq 100 Index ETF (Invesco QQQ Trust), which manages assets reaching $320 billion.
This will have a huge impact on stock prices and the Bitcoin market, with MicroStrategy's stock price and market capitalization likely receiving billions of dollars in passive investment inflows.
Famous cryptocurrency analyst Will Clemente pointed out on social platform X that 'MicroStrategy's inclusion represents that all large global pension funds, sovereign wealth funds, and personal retirement accounts will also indirectly hold Bitcoin.' This change signifies that Bitcoin will further become a part of the mainstream financial system and have a significant impact on traditional investors.
Moreover, market participants are optimistic that MicroStrategy will represent future Bitcoin companies.
MicroStrategy's success may create new market opportunities for other Bitcoin-related companies. Founder Michael Saylor also hinted on social platform X that cryptocurrency miner MARA Holdings might be the next Bitcoin company to join the Nasdaq 100 index.
References: cointelegraph, cointelegraph, coindesk
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