Influential cryptocurrency analyst Analyst Ali took to Twitter to underscore a significant development in the world of Bitcoin, drawing attention to the actions of prominent figures such as Michael Saylor’s MicroStrategy and Elon Musk’s Tesla.
According to Ali, prominent institutional investors, including Michael Saylor’s MicroStrategy and Elon Musk’s Tesla, made significant BTC purchases when the cryptocurrency was trading from $25,000 to $30,000. This strategic move has now created a crucial demand bucket in the history of BTC, effectively challenging naysayers who claim it’s too late to buy or anticipate a drop to $20,000.
Bitcoin’s Pivotal Demand Range
Tesla, the electric vehicle giant, has steadfastly committed to BTC. In the third quarter of 2023, the company released its financial results on October 18th, revealing that it continued to hold a substantial amount of Bitcoin, marking the fifth consecutive quarter without significant changes to its holdings.
As of September 30th, Tesla’s Bitcoin holdings were valued at $184 million, constituting a portion of the $1.5 billion worth of Bitcoin it initially purchased in March 2021.
According to the latest report, Tesla has not made any new Bitcoin acquisitions or divestments since they sold approximately 75% of their holdings in the second quarter of 2022. This sale allowed them to generate an impressive $936 million by parting with over 30,000 BTC.
On the other hand, MicroStrategy stands out as a prominent business intelligence firm renowned for its strong support of Bitcoin. On September 25th, as reported by TronWeekly, the company’s co-founder and executive chairman, Michael Saylor, made an announcement revealing their substantial acquisition of 5,445 BTC. This purchase amounted to $147.3 million in cash, with each BTC being obtained at an average price of $27,053.
According to a Form 8-K filing with the United States Securities and Exchange Commission, MicroStrategy and its subsidiaries accumulated this substantial amount of Bitcoin between August 1st and September 24th.
As of September 24th, MicroStrategy and its subsidiaries collectively held approximately 158,245 BTC. These digital assets were obtained at an average purchase price of around $29,582 per coin, inclusive of fees and expenses.
However, the latest developments in the cryptocurrency space demonstrate the unwavering confidence of key institutional investors, like MicroStrategy and Tesla, in the future potential of Bitcoin.
Their strategic moves at price levels between $25,000 and $30,000 indicate that these experienced investors maintain optimism regarding the long-term prospects of the leading cryptocurrency. It dispels doubts and advises against the belief that it is too late to invest in Bitcoin.