MicroStrategy, a company known for its strong investment strategy in Bitcoin, has just been announced to join the Nasdaq-100 index, according to the latest information from Reuters on December 14, 2024. This event comes after MicroStrategy's stock price surged thanks to its investment strategy in the world's largest cryptocurrency.
Being added to the Nasdaq-100 index is a significant step for MicroStrategy, as this often enhances stock value due to exchange-traded funds (ETFs) that are indexed to this index. In addition to MicroStrategy, data technology company Palantir Technologies and electric weapon manufacturer Axon Enterprise were also added to the list, while companies like Illumina, Super Micro Computer, and Moderna were removed.
MicroStrategy has witnessed extraordinary growth with its stock price increasing more than sixfold just this year, raising its market value to nearly 94 billion dollars. The company began buying and holding Bitcoin in 2020 as a strategy to protect the value of its reserves amid declining software business revenues. To date, MicroStrategy is the largest institutional holder of cryptocurrency.
According to analysts, the decision to invest in Bitcoin not only protects the value of reserve assets but also increases the attractiveness of MicroStrategy's stock. They predict that participation in the Nasdaq-100 will pave the way for entry into the S&P 500 index in 2025.
Additionally, Bitcoin has seen a strong price increase in recent weeks, as the victory of the elected U.S. President Donald Trump has raised hopes for the easing of legal barriers in the crypto sector. Notably, earlier this month, Bitcoin surpassed the $100,000 mark for the first time.
MicroStrategy currently holds approximately 423,650 Bitcoin, with an acquisition cost of around 25.6 billion US dollars, while the value of this investment is now approximately 42.43 billion dollars based on the latest price.
This new news from MicroStrategy not only marks a turning point in their investment strategy but also demonstrates the strong growth and potential of the global cryptocurrency market. This information was provided by Reuters, a reliable source in the financial industry.
