For others, the market is in red, but for institutional digital assets holders, the dips are becoming opportunities; in the past few weeks, few leading publicly traded companies have purchased Bitcoin.
In an announcement published on September 16, 2024, MicroStrategy (MSTR) announced its plan to acquire more Bitcoin with a plan to offer $700 million in convertible senior notes.
The private offering targets qualified institutional buyers under Rule 144A of the Securities Act of 1933.
As per market experts, the move to buy more BTC is influenced by the surging popularity of Bitcoin globally. MSTR’s recent offering is indeed targeted at institutional investors, allowing them to purchase unsecured senior notes. However, the notes are set to mature in 2028.
The company also expects to grant to the initial purchasers of the notes an option to purchase, within a 13-day period beginning on, and including, the date on which the notes are first issued, up to an additional $105 million aggregate principal amount of the notes, the available information notes.
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Earlier on September 13, 2024, Todayq reported that MicroStrategy acquired 18,300 Bitcoins between August 6 and September 12. In its recent 8k filing with the U.S SEC, the company notes that it has acquired BTC worth $1.1 billion at an average price of $60,480 per BTC.
As of September 14, 2024, MSTR holds 226,500 BTCs worth over $13 billion as of writing.
MetaPlant Inc. announced on September 10, 2024, that it had acquired 38.46 Bitcoin; following the acquisition, the company now holds 398.832 BTC. A significant boost in Bitcoin adoption has been seen among the leading traditional financial and technological giants in the past few years.
MicroStrategy (MSTR) Stock Price Update
According to data from TradingView, MSTR stock price surged over 10% in the past seven days, reaching $135.54. However, the press time trading price was around 47% smaller than the annual price target of $198.88.
It is crucial to note that MicroStrategy’s share price grew around 94.27% YTD and 288.37% in the past 52 weeks. The company has a market capitalization of $23.76 billion, growing 294% annually.
The reported EPS of MSTR in Q2, 2024 was -519.24% less than the estimated EPS of -$0.09; the company is expected to report -$0.13 in Q3. Similarly, the reported revenue of MicroStrategy in Q2 was $112.10 million, which is -8.11% less than estimates.
MSTR’s 174.60 million shares are free-floating, and the remaining 82.10k shares are closely held.
Crypto Market Price Update
Until publishing, the fear and greed index powered by CoinMarketCap was at 34, denoting a fear sentiment in the market; at the same time cryptocurrency market capitalization was $2.04 trillion with a decline of 0.80% intraday.
When writing Bitcoin was trading at $58,600 with a decline of 1% in the past 24 hours; a constant volatility in the broader market has dragged the prices below the mark of $60k.
The intraday gainers’ list is ruled by Fantom (FTM) as its price grew roughly 16%, reaching $0.5606, followed by Celestia (TIA), as its price surged 4.65%, reaching $4.93.
However, in the past 24 hours, SEI lost 5.59% of its trading price, making it the intraday loser trading at $0.2746, followed by Helium at $6.95, losing 5.21% of its price.
