Bitcoin Market Drop Cost MicroStrategy $30 Billion
According to The Kobeissi Letter's November 26 X article, Michael Saylor's MicroStrategy plummeted 35% from its November 21 high, erasing $30 billion in market valuation after Bitcoin's drop.
On Tuesday, The Kobeissi Letter reported that MicroStrategy's value dropped sharply, marking the greatest four-day decrease in its history and a “whole new level of volatility for the Bitcoin proxy.”
Bulls will say Saylor has changed business and the stock is inexpensive. The Kobeissi Letter warned bears would call this a Ponzi scam and money is drying up. Can Saylor keep borrowing?
On Wednesday, the Virginia-based software firm's strategy rose about 8% despite worries.
Saylor wrote on November 27 that “$MSTR is a credit default swap on $100+ trillion in 20th-century assets,” garnering 16,000 likes by midday Wednesday.
Michael Saylor Bets Big on Bitcoin
Saylor has overseen MicroStrategy's Bitcoin purchases since 2020, betting large on the cryptocurrency.
The business raised $3 billion in convertible notes due in 2029 on November 21 to fund its token purchases.
MicroStrategy bought 55,000 additional Bitcoins for $5.4 billion, according to a November 25 SEC 8-K filing.
In a CNBC interview, Saylor predicted MicroStrategy's growth.
“We’re making $500 million a day,” Saylor stated. We sell dollar notes for $3, sometimes a million times a minute, as I stare at my computer.
After a return from its post-election rise that almost crossed $100,000, Bitcoin is rising again.
The Satoshi Nakamoto-created token's value is predicted to rise due to President-elect Donald Trump's blockchain policy.
After returning to the Oval Office in January, the former reality TV star, who founded his family's cryptocurrency business World Liberty Financial, is likely to pass crypto-friendly laws.
Whether Bitcoin reaches $100,000 by then is unknown.
#MarketBuyOrHold? #BTCWatchZone #BinanceHODLerTHE $BTC