Bitcoin continued its strong show after crossing the $107,000-mark on multiple positive triggers. The largest cryptocurrency was trading around $106,679.52 on Tuesday, after cooling off slightly from the record level.
While these gains have sparked excitement in the crypto space, one company’s embrace of Bitcoin is making waves across both financial and technological markets: MicroStrategy. The tech firm, once primarily known for its business intelligence software, has transformed into the largest Bitcoin holder among publicly traded companies, amassing 439,000 Bitcoins, currently valued at around $47 billion.
Bitcoin has gained over 16.10% in over a month, nearly 58.77% since the US presidential election, and a staggering 154% in last 12 months.
The optimism surrounding Bitcoin is also fuelled by expectations of a more crypto-friendly regulatory environment under the incoming administration of President-elect Donald Trump. Additionally, the potential establishment of a national strategic Bitcoin reserve has added to positive market speculation.
“We’re gonna do something great with crypto because we don’t want China, or anybody else but others are embracing it, and we want to be ahead,” Trump said in a recent interaction with CNBC.
MicroStrategy’s deep bet on Bitcoin began in August 2020 when the company shifted its treasury strategy, opting to use Bitcoin as its primary reserve asset. Since then, the company’s stock has experienced extraordinary growth, from a market capitalisation of about $1.1 billion in 2020 to nearly $100 billion today.
This dramatic increase in stock value has been propelled largely by the rising price of Bitcoin, which has boosted investor sentiment around the company. In fact, MicroStrategy’s stock has surged by 614% in one year, outpacing the S&P 500’s 28.13% rise.
