Bitcoin has been named the flagship digital asset in the crypto market. This leading digital currency has the potential to change the investment game forever. As the current market cap of Bitcoin has reached a valuation of $1.7 trillion, more and more companies are taking an interest in using the digital asset as a safe investment bet. In the same vein, MicroStrategy the biggest business intelligence and enterprise software company in the world has recently invested $15 Million in BTC.
The rumors of this huge shopping spree have been going around since the beginning of this month. However, a tweet by Micheal J. Saylor has confirmed this purchase officially. Saylor has become a big advocate of Bitcoin investment for other enterprises as well. His tweet solidifies the 91,326 Bitcoins holding the position of the company with an average cost of $24,214 per Bitcoin.
Where is MicroStrategy Heading with Its BTC Purchase?
At present, the total Bitcoin holdings of MicroStrategy are valued at $4.38 billion. It should be noted that the company made a major investment of $1 billion in Bitcoin in February this year. After this purchase, the stock price of the company raised 7% higher in the premarket trading. Ever since the acquisition of Bitcoin in August 2020, MicroStrategy stock has gone up 500% since last year.
President and CFO of MicroStrategy, Phong Le is quite optimistic about the company’s Bitcoin Strategy. According to his remarks, the company’s BTC holdings and related activities in support of the BTC network perfectly complement the software-based organization. MicroStrategy CEO expressed his BTC bull optimism in an interview with CNBC news claiming that BTC has the potential to reach the market cap of $100 trillion.
Crypto Investments Becoming a Visible Market Trend
The biggest brands in the world have been making a regular investment in Bitcoin as well. Square Inc. has recently invested $170 million in Bitcoin. Tesla has also made an additional investment of $1.5 billion presently. After every BTC purchase, the stock price of the buyer organization swells up as the investors flocked in large quantities to gain exposure to the cryptocurrency. As the BTC went off track in February 2021, the stocks of MicroStrategy tanked 20%. However, the positions have been changed for the better in March.
According to the financial analysts, the relaxation on Federal Reserve’s Inflation policy has enabled MicroStrategy top brass to arrange for the investment money. The company has taken serious measures to make its position stronger on BTC Holdings. In February, MicroStrategy managed the sale of a big convertible debt before investing $1 billion in the flagship currency.