The Bitcoin share of MicroStrategy rose after the business intelligence firm bought 480 additional bitcoins for around USD 10 million. The new acquisition allowed them to increase their reserves to 129,699 BTC, thus proving that Saylor is optimistic about the cryptocurrency.
As part of the investment plan of Michael Saylor, MicroStrategy will continue to hoard Bitcoin (BTC).
The business intelligence firm recently acquired 480 BTC, thus accumulating over 128,000 BTC in its coffers.
According to Saylor, there are 129,699 BTC in their reserves, bought at around USD 20,817 per unit.
Since Bitcoin is trading at around USD 20,000, the holdings of MicroStrategy amount to about USD 2.6 billion.
Amid the run of Bitcoin into the range between USD 18,000 and USD 21,000, many think MicroStrategy might face margin calls. However, Saylor dismissed that possibility and expressed his commitment to buying as many additional coins as cash flow allows.
The executive said they only had to guarantee a 200-million-dollar loan on a one-billion-dollar balance sheet. In that regard, he stressed that the company had become ten times more guaranteed.
In addition, he commented that talking about the MicroStrategy margin calls is a lot of ado about nothing.
MicroStrategy Keeps Increasing Its Reserves of Bitcoin
Michael Saylor explained that MicroStrategy generates excess cash, which they invest in more Bitcoin. He said their strategy was buying and keeping it and then using the free cash flow to buy additional coins.
While some are selling their holdings, Michael Saylor takes advantage of the low prices to buy more Bitcoin.
Saylor stated that MicroStrategy had purchased an additional 480 Bitcoins for around USD 10 million, an average of USD 20,817 per unit. Today MicroStrategy owns about 129,699 BTC, bought for USD 3.98 billion at an average of USD 30,664 per unit.
According to the SEC, MicroStrategy bought 480 BTC in June for around USD 10 million, an average of USD 20,817 per unit. With the new acquisition, the company increased its reserves to 129,699 BTC.
On June 14th, Saylor pointed out he would keep his Bitcoin despite the drop in its price. After that remark, the millionaire businessman made this additional purchase of the pioneering cryptocurrency.
Saylor Bets on a Bullish Scenario despite the Drop of Bitcoin
Although the performance of BTC was not very positive in June, Michael Saylor did not feel scared. He believes in a scenario where the price of Bitcoin will recover and grow considerably.
Referring to the current bearish stage, Saylor recognized that Bitcoin had had its ups and downs. In that context, he considers that Bitcoin can get out of that abyss to seek higher levels.
The CEO of MicroStrategy said the formation of new regulatory frameworks causes uncertainty regarding the increase in Bitcoin acceptance. He trusts that the advance in the crypto market would be enough to keep the price afloat, thus generating a new bullish scenario.
BTC is trading at around USD 18.96 and has accumulated a 5.6% loss over the last 24 hours. While its daily trading volume is above USD 20.37 billion, its market capitalization is about USD 364.62 billion, according to CoinGecko.
By Alexander Salazar
