MicroStrategy’s Bitcoin Portfolio

With its Bitcoin portfolio, MicroStrategy is approaching an incredible milestone as it nears a $7 billion profit. Bitcoin is nearing $7,000,000, indicating that the company’s aggressive accumulation strategy is yielding results. This recent development is evidence of MicroStrategy’s long-term strategy, making the company synonymous with substantial Bitcoin investments under CEO Michael Saylor.

The company’s approach is straightforward: acquire Bitcoin at various price points, unaffected by market conditions, and retain it as a reserve asset. By consistently purchasing Bitcoin during market downturns, MicroStrategy has exhibited a methodical approach to dollar-cost averaging.

This strategy allows them to spread out their investments over time rather than making large one-off purchases. Consequently, their total dollar-cost average remains significantly below the current market price, providing a buffer against volatility. Timing-wise, MicroStrategy has made purchases at critical moments in the market, following both substantial corrections and bullish trends.

Their strategy aligns with a long-term view of Bitcoin as a hedge against inflation and a store of value. Notably, their portfolio tracker indicates that despite some transient setbacks, this approach has positioned them favorably as Bitcoin continues to rise.

The value of MicroStrategy’s holdings could increase dramatically due to Bitcoin, currently trading at $65,000, with prospects of surpassing $70,000. This is particularly significant as it enhances demand, with more institutional investors recognizing Bitcoin as a legitimate asset class.

This article was originally published on U.Today