- MicroStrategy added 1,020 BTC worth $101 million to its holdings in the week ending January 5.
- The company’s total Bitcoin holdings now stand at 447,470 BTC at an average purchase price of $62,503.
- A new $2 billion preferred stock offering is planned for Q1 2025 to acquire more Bitcoin.
- The company maintains $6.77 billion in its at-the-market (ATM) program for future purchases.
- MicroStrategy’s stock recovered 13% after a 50% decline from its November high of $543.
Record-Breaking Bitcoin Acquisition Continues
MicroStrategy (MSTR) expanded its Bitcoin position for the ninth straight week, purchasing 1,020 BTC for $101 million. The company, which leads all publicly traded firms in Bitcoin ownership, made the acquisition at an average price of $94,004 per BTC.
Executive Chairman Michael Saylor announced the purchase on X, maintaining his tradition of Sunday updates. The transaction increased the company’s total holdings to 447,470 BTC, with an average acquisition cost rising to $62,503.
Strategic Funding Mechanisms
The latest purchase utilized funds from MicroStrategy’s at-market (ATM) program, which retains $6.77 billion in available capital. Adding to its financial arsenal, the company announced plans to raise up to $2 billion through preferred stock offerings in Q1 2025.
This preferred stock initiative operates independently from the company’s existing 21/21 plan, which allocates $21 billion each to equity and fixed income investments. The preferred shares will offer priority over Class A common stock, with options for conversion and cash dividends.
Market Response and Stock Performance
The market responded positively to MicroStrategy’s continued Bitcoin accumulation strategy. After experiencing a nearly 50% decline from its November 21 peak of $543, the company’s stock price recovered 13% on Friday. Pre-market trading showed additional strength with a 2% increase, placing the stock around $353.
The company’s aggressive Bitcoin acquisition strategy, initiated in 2020, represents the largest corporate investment in cryptocurrency. This approach has positioned MicroStrategy as a proxy for institutional Bitcoin investment, with its stock price often correlating with Bitcoin market movements.
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