MicroStrategy Buys $458M Bitcoin, New ATH Soon?
MicroStrategy, the largest publicly listed Bitcoin (BT) holder, has bought more BT. On Friday, September 20, 2024, the business said it had bought 7,420 BTC for $458.2 million at $61,750 each.
MicroStrategy Buys Bitcoin Again
With the current acquisition, the corporation possesses 252,220 BTC. With an average Bitcoin price of $39,266, this reserve cost $9.9 billion. In trading today, MSTR rose 1.08% to $148.22.
This transaction follows a huge purchase made a week earlier on September 12, 2024. At an average price of $60,408, MicroStrategy bought 18,300 BTC for $1.11 billion.
The business has also generated remarkable profits from its Bitcoin holdings, yielding 5.1% QTD and 17.8% YTD.
MicroStrategy's constant purchasing pressure, Marathon Digital Holdings (MARA), and institutional investment in spot Bitcoin ETFs are seen to be driving crypto market bullishness. Bitcoin may soon hit a new all-time high, according to some experts.
Will BTC Reach ATH?
The allocation of $16 billion from FTX's insolvent estate to its creditors would boost the crypto market in the coming months. This approach should infuse market liquidity in the fourth quarter of 2024. Analysts expect many of these money to return to crypto, raising BTC and other values.
As central banks enhance market liquidity, cryptocurrencies benefit from the macroeconomic climate. The Fed decreased interest rates by 50 basis points (bps) for the first time since the COVID-19 epidemic. Hong Kong's Monetary Authority also cut rates by 0.5% to 5.25%.
In addition, Bank of America (BofA) Global Research forecast a 75-bps Federal Reserve rate drop in the fourth quarter. This should attract investors to risky assets like BTC and ETH.
BTC advocates like Anthony Scaramucci and Robert Kiyosaki have raised the $100,000 goal. With aggressive Fed rate reduction, BTC price might reach new highs and achieve this aim.
