news4global
  • Home
  • Bitcoin
  • Blockchain
  • Business
  • Latest news
  • Market
  • Regulation
  • VideosHot
    Bitcoin At MAJOR Crossroads (IS BTC PRICE ABOUT TO CRASH?)

    Bitcoin At MAJOR Crossroads (IS BTC PRICE ABOUT TO CRASH?)

    ये Coins कर सकते बर्बाद ‼️  Solana Bad news | 30 दिसंबर को बड़ी हलचल | Cryptocurrency | crypto news

    ये Coins कर सकते बर्बाद ‼️ Solana Bad news | 30 दिसंबर को बड़ी हलचल | Cryptocurrency | crypto news

    Quant QNT Price News Today Technical Analysis – Price Now! Quant Price Prediction 2022

    Quant QNT Price News Today Technical Analysis – Price Now! Quant Price Prediction 2022

    🔥 100X POTENTIAL? 🔥 LONG TERM BNB PRICE PREDICTION – Crypto News Today

    🔥 100X POTENTIAL? 🔥 LONG TERM BNB PRICE PREDICTION – Crypto News Today

    Gravitas: Cryptocurrency: New tool for money laundering

    Gravitas: Cryptocurrency: New tool for money laundering

    Last Chance to Buy Ada (Cardano) || Ada (Cardano) Price Prediction || Ada News Today || Ada Update

    Last Chance to Buy Ada (Cardano) || Ada (Cardano) Price Prediction || Ada News Today || Ada Update

    20/12/2022 Cryptocurrency Tamil news today | Shiba inu coin news | luna crypto news | Bitcoin Tamil

    20/12/2022 Cryptocurrency Tamil news today | Shiba inu coin news | luna crypto news | Bitcoin Tamil

    🚀Binance ने Cryptowalo को Goodnews दी ✅️🚀| Cryptocurrency | Shiba inu news today

    🚀Binance ने Cryptowalo को Goodnews दी ✅️🚀| Cryptocurrency | Shiba inu news today

    Emergency ♦️ बंद हो गया था Binance ⚠️ | Crypto News Today | Cryptocurrency | Bitcoin

    Emergency ♦️ बंद हो गया था Binance ⚠️ | Crypto News Today | Cryptocurrency | Bitcoin

No Result
View All Result
  • Home
  • Bitcoin
  • Blockchain
  • Business
  • Latest news
  • Market
  • Regulation
  • VideosHot
    Bitcoin At MAJOR Crossroads (IS BTC PRICE ABOUT TO CRASH?)

    Bitcoin At MAJOR Crossroads (IS BTC PRICE ABOUT TO CRASH?)

    ये Coins कर सकते बर्बाद ‼️  Solana Bad news | 30 दिसंबर को बड़ी हलचल | Cryptocurrency | crypto news

    ये Coins कर सकते बर्बाद ‼️ Solana Bad news | 30 दिसंबर को बड़ी हलचल | Cryptocurrency | crypto news

    Quant QNT Price News Today Technical Analysis – Price Now! Quant Price Prediction 2022

    Quant QNT Price News Today Technical Analysis – Price Now! Quant Price Prediction 2022

    🔥 100X POTENTIAL? 🔥 LONG TERM BNB PRICE PREDICTION – Crypto News Today

    🔥 100X POTENTIAL? 🔥 LONG TERM BNB PRICE PREDICTION – Crypto News Today

    Gravitas: Cryptocurrency: New tool for money laundering

    Gravitas: Cryptocurrency: New tool for money laundering

    Last Chance to Buy Ada (Cardano) || Ada (Cardano) Price Prediction || Ada News Today || Ada Update

    Last Chance to Buy Ada (Cardano) || Ada (Cardano) Price Prediction || Ada News Today || Ada Update

    20/12/2022 Cryptocurrency Tamil news today | Shiba inu coin news | luna crypto news | Bitcoin Tamil

    20/12/2022 Cryptocurrency Tamil news today | Shiba inu coin news | luna crypto news | Bitcoin Tamil

    🚀Binance ने Cryptowalo को Goodnews दी ✅️🚀| Cryptocurrency | Shiba inu news today

    🚀Binance ने Cryptowalo को Goodnews दी ✅️🚀| Cryptocurrency | Shiba inu news today

    Emergency ♦️ बंद हो गया था Binance ⚠️ | Crypto News Today | Cryptocurrency | Bitcoin

    Emergency ♦️ बंद हो गया था Binance ⚠️ | Crypto News Today | Cryptocurrency | Bitcoin

No Result
View All Result
news4global
No Result
View All Result
Home Blockchain

This Company Is Buying More Bitcoin in This Crypto Crash — Should You Do the Same?

July 2, 2022
Reading Time: 5 mins read
0
Bitcoin Dips Below 19K. What Does This Mean for the Coin?
189
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter

Business analytics company MicroStrategy (NASDAQ: MSTR) has converted nearly all of its cash reserves into Bitcoin (CRYPTO: BTC) tokens. You might expect CEO Michael Saylor to be less enthusiastic about this idea, as Bitcoin prices fell nearly 60% in the first half of 2022, but the company is still buying more digital coins.

Is MicroStrategy setting a bad example here — or should you follow suit?

Related articles

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Cryptocurrency Price Today: Bitcoin Registers Gains While Litecoin, Solana Report Losses – ABP Live

February 5, 2023
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Binance Teams Up With Hong Kong Police To Fight Crypto Crime – NewsBTC

February 4, 2023

What’s new?

According to official filings to the Securities and Exchange Commission (SEC), MicroStrategy bought another 480 Bitcoins between May 3 and June 28. The average price per coin worked out to $20,817, and the total investment added up to $9.99 million.

The company now holds 129,699 Bitcoins in its digital coffers, worth approximately $2.50 billion at today’s prices.

Adding 480 coins to this massive hoard amounts to an increase of 0.4%, so it wasn’t exactly a gigantic investment. However, the act of putting more money into Bitcoin while the price chart is plunging still shows that MicroStrategy and Saylor expect the Bitcoin investment to turn profitable again.

Saylor is an established Bitcoin influencer

Saylor is extremely bullish on Bitcoin’s long-term prospects as an investment and ultimately as the currency of the future. These opinions aren’t exactly hot news, as Saylor has been spreading the word for a couple of years already. When Elon Musk’s Tesla (NASDAQ: TSLA) bought $1.5 billion of Bitcoin last summer, Saylor appeared to have played an integral part in inspiring that investment.

And this Bitcoin hoard is absolutely massive already. The cryptocurrency investment fund Grayscale Bitcoin Trust (OTC: GBTC) manages a portfolio of nearly 655,000 Bitcoins, but no other public company comes close to MicroStrategy’s enormous Bitcoin investment, not even leading Bitcoin miner Marathon Digital (NASDAQ: MARA), whose wallet held just 9,941 bitcoin in early June.

So maybe we shouldn’t read too much into MicroStrategy’s modest increase in Bitcoin holdings. If Bitcoin prices collapse to zero, Saylor looks prepared to go down with the ship. In other words, this small round of Bitcoin investments shouldn’t inspire anybody to bet their life savings on the digital currency.

Don’t get carried away with the Bitcoin idea

The cryptocurrency market is still in its infancy. The domestic market doesn’t have a proper regulatory framework yet, and governments around the world are wrestling with their specific approaches to this unfamiliar asset class.

And the risks are real. It cost MicroStrategy $3.98 billion to assemble its Bitcoin holdings, which now are worth just $2.5 billion. Accounting for these lower asset prices, the company has posted massive losses in the last two quarters. If Bitcoin drops much further, creditors would eventually want MicroStrategy to repay the loans they took to finance some of its Bitcoin buys.

MSTR Total Long Term Debt (Quarterly) data by YCharts

So I understand if you believe in Michael Saylor’s vision of Bitcoin as a great long-term investment, leading you to invest a small portion of your own portfolio in this digital currency. However, many things could still go wrong and I don’t think you should go all in on Bitcoin the way MicroStrategy has done.

It would be best if you kept your Bitcoin exposure small for now, reflecting the speculative nature of this exciting but dangerous investment vehicle. Patience is a virtue, especially in volatile and risky markets like the current cryptocurrency industry.

10 stocks we like better than Bitcoin
When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*

They just revealed what they believe are the ten best stocks for investors to buy right now… and Bitcoin wasn’t one of them! That’s right — they think these 10 stocks are even better buys.

See the 10 stocks

*Stock Advisor returns as of June 2, 2022

Anders Bylund has positions in Bitcoin and Tesla. The Motley Fool has positions in and recommends Bitcoin and Tesla. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Share76Tweet47

Related Posts

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Cryptocurrency Price Today: Bitcoin Registers Gains While Litecoin, Solana Report Losses – ABP Live

by admin
February 5, 2023
0

Cryptocurrency Price Today: Bitcoin Registers Gains While Litecoin, Solana Report Losses  ABP Live

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Binance Teams Up With Hong Kong Police To Fight Crypto Crime – NewsBTC

by admin
February 4, 2023
0

Binance Teams Up With Hong Kong Police To Fight Crypto Crime  NewsBTC

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

How to Create a Pi Network Account – BSC NEWS

by admin
February 4, 2023
0

How to Create a Pi Network Account  BSC NEWS

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Introducing Proof Of Memes: The Ultimate Memecoin Blockchain … – Bitcoin News

by admin
February 3, 2023
0

Introducing Proof Of Memes: The Ultimate Memecoin Blockchain ...  Bitcoin News

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Billionaire Draper Pitches Sri Lanka on Bitcoin, Gets Rejected – Bloomberg

by admin
February 3, 2023
0

Billionaire Draper Pitches Sri Lanka on Bitcoin, Gets Rejected  Bloomberg

Load More
  • Trending
  • Comments
  • Latest

Bitcoin’s Main Rival Ethereum Hits A Fresh Record High: $425.55

March 3, 2022

Bitcoin Is ‘Definitely Not a Fraud,’ CEO of Mobile-Only Bank Revolut Says

March 2, 2022
How online shopping has changed over the last 30 years | National

How online shopping has changed over the last 30 years | National

April 6, 2022
Protocon Announces ‘Contract Model’, an Alternative

Protocon Announces ‘Contract Model’, an Alternative

April 6, 2022

US Commodities Regulator Beefs Up Bitcoin Futures Review

0

Bitcoin Hits 2018 Low as Concerns Mount on Regulation, Viability

0

India: Bitcoin Prices Drop As Media Misinterprets Gov’s Regulation Speech

0

Bitcoin’s Main Rival Ethereum Hits A Fresh Record High: $425.55

0
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Bitcoin price may retest $20K on US CPI amid absence of soft landing — trader – Cointelegraph

February 5, 2023
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Weekly Article Recap: 1/30-2/3 – BSC NEWS

February 5, 2023
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

#Cryptocurrency Hackers Stole $3.8 Billion Last Year, Making It the Worst Year on Record … – Latest Tweet – LatestLY

February 5, 2023
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

What are the 5 Interesting Facts About Bitcoin – GISuser.com

February 5, 2023

Latest News

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Bitcoin price may retest $20K on US CPI amid absence of soft landing — trader – Cointelegraph

February 5, 2023
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Weekly Article Recap: 1/30-2/3 – BSC NEWS

February 5, 2023

Categories

Site Navigation

  • Home
  • About us
  • Contact us
  • Privacy policy
  • Terms and services
  • Home
  • About us
  • Contact us
  • Privacy policy
  • Terms and services

© 2022 Designed by news4global

No Result
View All Result
  • Home
  • Bitcoin
  • Blockchain
  • Business
  • Latest news
  • Market
  • Regulation
  • Videos

© 2022 Designed by news4global