Bitcoin Down, MicroStrategy Immediately Hits 1,070 BTC

Bitcoin, the number one crypto asset by market cap. (Photo; Doc. Cryptopolitan)

JAKARTA - A software company from the United States, MicroStrategy, has bought up another 1,070 BTC worth US$101 million (Rp1.6 trillion) of Bitcoin (BTC). This purchase was made at the end of 2024, to be precise around December 30, when the price of Bitcoin was trading in the range of 94,000 US dollars (Rp 1.5 billion) per coin.

Following the announcement of this purchase, the price of Bitcoin jumped 3.6% and managed to break the psychological level of US$100,000 (Rp1.6 billion), which is an important figure for crypto investors and analysts. Not only that, the stock price of MicroStrategy (MSTR) was also raised, up 4.5% and traded above 350 US dollars (Rp5.7 million) per share, reflecting the market's positive response to the move.

The move marks week 9 in a row on a Bitcoin purchase program by MicroStrategy. an indication that the company is very serious in making BTC an integral part of their long-term strategy.

With its latest purchases, MicroStrategy now has 447,470 BTC which if calculated based on current market prices is worth around 45.3 billion US dollars (Rp732 trillion). At the average purchase price of 62,470 US dollars (Rp1 million), the company recorded a profit of 62% of their total Bitcoin investment.

However, MicroStrategy is still facing significant losses in the fourth quarter of 2024, with reports of impairment losses of US$1 billion (Rp16.2 trillion).

However, as the company's transition towards the use of fair value accounting for their crypto assets, the balance sheet is expected to jump from 17.9 billion US dollars (Rp289 trillion) to nearly US$24 billion (Rp388 trillion). In terms of yields, the company recorded 48% of their Bitcoin in the fourth quarter and 74.3% for the 2024 financial year.