MicroStrategy’s Bitcoin Holdings Now at $7.4B Profit as BTC Hits $70K

MicroStrategy is having a last laugh at critics as its Bitcoin (BTC) holdings is currently at a staggering profit of $7.4 billion. This represents an 89% growth on its BTC investment.

Data from Saylor Tracker shows that MicroStrategy has spent approximately $8.37 billion to purchase 226,331 BTC at an average price of $36,798. With the digital asset’s price hitting $70,000 on Monday, MicroStrategy’s holdings rose to $15.82 billion. Deducting its total purchase price of $8.37 billion from the current holdings of $15.82 billion brings the profit to $7.4 billion.

Aggressive Buyer

Since Michael Saylor introduced the Bitcoin strategy for MicroStrategy in August 2020, the software company has been buying the digital asset aggressively. Its most recent acquisition came in June when the company scooped up 11,931 BTC for approximately $786 million using proceeds from convertible notes and excess cash. Between March and April, the company added 9,390 BTC to its portfolio.

With a total holding of 226,331 BTC, MicroStrategy remains the largest corporate holder of Bitcoin, holding around  1.08% of the digital asset’s entire supply.

Bitcoin Hits Seven-Week High 

The increase in the company holdings comes as BTC rose by 3% to hit the $70,000 mark for the first time since June 13. This gain has been building up recently, with the digital asset rising by 14% over the past month, 12% over the past 14 days, and 3.1% over the past week. With this current price, BTC is just 5.07% shy of its all-time high (ATH) of $73,700 recorded on March 14.

Analysts have attributed this recent price surge to several factors, including Senator Cynthia Lummis’ comments about Bitcoin as a potential strategic reserve asset for the US and increased odds around the Fed’s move to cut rate this September.

At the time of writing this line, BTC was trading at $68,815, representing a 1.35% surge on the day.