MicroStrategy Founder and newly minted bitcoin bull Michael Saylor can’t seem to get enough of the crypto community, and the feeling appears to be mutual.
Saylor went from zero to hero in the crypto community since he flipped from being a critic to a bitcoin bull. MicroStrategy has since purchased a total of 38,250 bitcoins worth $425 million. According to on-chain market analyst Willy Woo, the purchase was enough to move the meter and “dampen price volatility.” Woo expects that more of the same could happen if other companies jump on the bitcoin bandwagon.
Breaking It Down
Saylor has outlined the blueprint for the transactions in a tweet, tipping his hand to the corporate strategy and cementing his new reputation as a bitcoin bull — if there was any doubt.
The way the company acquired its latest round of an eye-popping 16,796 BTC that it announced on Sept. 14 was to trade nonstop for more than three days straight. They were buying approximately 0.19 BTC every three seconds, which amounts to nearly $40,000 in bitcoin per minute.
Being the opportunistic traders that they are, the MicroStrategy team was prepared to buy $30 million-$50 million in BTC within a few seconds if the price went on sale.
Crypto Twitter cheered as MicroStrategy was stacking sats. Based on his recent interview on Anthony Pompliano’s podcast, Saylor appears to be a bitcoin maximalist whose intentions are to keep the bitcoin community accountable for “[defending] the network to the death against someone who is going to break it or compromise it in any shape or form.” He may be watching what’s going on in the DeFi space and smart contracts, but he is putting his money where his mouth is in bitcoin.
Year of the Bitcoin
MicroStrategy has chosen a good time to be a crypto investor. Bitcoin has been a top-performing asset this year so far, having left both gold and the S&P 500 index in the dust with its 57% gains. If some bitcoin price predictions are right, there is still a great deal of runway left for gains in the short-term.
If Woo is right, 2021 could be an interesting year as companies get the wheels turning to capture their share of the bitcoin market.