Strategy has made its 100th purchase of Bitcoin on Monday, Feb 23, marking a milestone in its long-running streak of purchasing the cryptocurrency every week. The purchase comes at a time when Bitcoin continues its decline below key levels, with MSTR stock also trading lower.
An SEC filing confirmed that the company had made its 100th purchase of Bitcoin, purchasing 592 Bitcoin worth $39.8 million. The company had acquired the cryptocurrency at an average price of $67,286 per Bitcoin. The company now owns 717,722 Bitcoin, with the total cost of acquisition standing at $54.56 billion.
The company had also made its purchase of Bitcoin through a sale of MSTR shares, with the company selling 297,940 shares. The company had generated net proceeds of $39.7 million, which it had then used to purchase Bitcoin.
Saylor Hints at Purchase and Downplays Market Volatility
Michael Saylor had hinted at the purchase on Sunday, posting on X with a screenshot of the company’s Bitcoin portfolio tracker. The screenshot had been accompanied by a caption that read, “The Orange Century.”
However, in his interview with Fox Business, Saylor played down the market’s volatility. He stated that the industry is in a “crypto winter.” He also emphasized that it is “much milder” compared to the sharp deleveraging experienced in 2022.
Analysts believe that Strategy is not just holding assets for long-term investment anymore. Instead, they are considered players in the transition towards a Bitcoin-based financial system.
Also Read: Spot Bitcoin ETFs Recorded $3.8 Billion in Five-Week Outflows
Saylor also emphasized that the flow of capital into the industry is still consistent. He also emphasized that Layer 2 developments and institutional custody are still moving forward.
Saylor’s Strategy Faces Pressure as BTC Extends Losses
If Saylor is able to manage the $7 billion paper loss without triggering margin calls and impacting the stock’s performance, it would be proof of the strength of the Bitcoin Treasury Model.
Strategy had started its purchase of Bitcoin on August 10, 2020, with its first purchase consisting of 21,454 Bitcoin, costing the company $250 million. This makes it the largest corporate investor in the cryptocurrency.
Meanwhile, Bitcoin continues its decline, with its price falling from its highs of $68,000 over the weekend to a low of $65,000 today. This is owing to weakening demand, with market data also indicating a decline.
The decline in Bitcoin is also affecting MSTR. According to Yahoo Finance data, the company’s share is trading at $129, a decline of more than 2% from its closing price of $131 per share last week.
Also Read: Strategy Adds 2,486 Bitcoin As Saylor Doubles Down Despite Market Slump
