Yigit Taha OZTURK 
Institutional interest in Bitcoin was still in its early stages in August 2020 when MicroStrategy made a bold move by announcing its first major Bitcoin investment. At that time, the company began converting its cash reserves into Bitcoin and initially purchased $250 million worth of BTC.
This decision sparked debates in the traditional finance world. However, Michael Saylor argued that Bitcoin was superior to gold and other traditional assets as a hedge against inflation. Over the years, the company continued to increase its Bitcoin purchases, following a consistent accumulation strategy.
MicroStrategy’s Aggressive Accumulation Strategy
MicroStrategy solidified its identity as a long-term investor by making aggressive purchases, especially when Bitcoin’s price dropped. Some notable acquisitions include:
- May 2021: During a market crash, the company bought $500 million worth of BTC.
- November 2022: Following the FTX collapse, when Bitcoin dropped to $16,000, MicroStrategy seized the opportunity and acquired 42,000 BTC.
- March 2024: As Bitcoin surged to new all-time highs, the company continued its buying spree, further expanding its portfolio.
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MicroStrategy’s Latest Acquisition & Future Strategy
The most recent 7,633 BTC purchase has further strengthened the company’s existing Bitcoin reserves. As of now, MicroStrategy’s average acquisition cost stands at $64,524.20, while the current Bitcoin price hovers around $97,476.15.
This translates to a $15.58 billion profit, reflecting a 51.26% return on their Bitcoin investment. Clearly, MicroStrategy’s Bitcoin strategy has proven successful.
However, Bitcoin’s price remains influenced by global economic uncertainties, interest rate policies, and regulations. According to market analysts, if Bitcoin falls below $93,000, nearly $1.7 billion in leveraged positions could face liquidation risks.
Despite these uncertainties, the company remains committed to its long-term accumulation strategy, anticipating that Bitcoin will eventually reach six-figure price levels.
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