Microstrategy’s recent purchase of 2,138 BTC has not been enough to stabilize its stock price, which has dropped by over 36% from its record high. Despite the company’s commitment to its bitcoin strategy, its shares have struggled to regain momentum. Microstrategy’s decision to invest heavily in bitcoin has been a defining feature of its business approach since 2020.
A Record High and a Steep Decline
Microstrategy’s stock price reached its record high in 2021, but has since experienced a significant decline. The company’s shares are now trading at a price that is more than 36% lower than its peak. This downturn has raised concerns about the company’s ability to weather the volatility of the cryptocurrency market.
Microstrategy’s Bitcoin Strategy
Microstrategy’s decision to invest in bitcoin was made in 2020, with the company’s founder and CEO, Michael Saylor, leading the charge. Since then, the company has continued to add to its bitcoin holdings, with its recent purchase of 2,138 BTC being the latest example. Despite the challenges posed by the current market conditions, Microstrategy remains committed to its bitcoin strategy.
A Test of Endurance
The current downturn in Microstrategy’s stock price has raised questions about the company’s ability to endure the volatility of the cryptocurrency market. As the company continues to invest in bitcoin, it remains to be seen whether its strategy will pay off in the long term.
Source: Coinbuzzfeed.com
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