MicroStrategy scoops up $347 million in BTC amidst spot Bitcoin ETF gold rush

  • MicroStrategy has announced the purchase of 12,333 Bitcoins for $347 million cash over the past two months. 
  • The pro-Bitcoin technology firm now holds 152,333 BTC worth more than $4.6 billion. 
  • The announcement comes at a time when there is a gold rush of spot Bitcoin ETF applications led by BlackRock, WisdomTree, Invesco and Fidelity.

MicroStrategy, one of the largest publicly traded business analytics firms, continued accumulating Bitcoin through the recent crypto bloodbath. In an announcement early on Wednesday, the firm revealed its purchase of 12,333 BTC for $347 million between April and June 27, 2023. 

The timing of the announcement coincides with the recent revival of interest in spot Bitcoin Exchange Traded Fund (ETF) filings by several large financial institutions. 

Also read: Bankrupt FTX begins revival of international exchange, The Wall Street Journal reports

MicroStrategy announces $347 million in Bitcoin purchase

MicroStrategy has acquired 12,333 BTC in exchange for $347 million in cash between April 29 and June 27, according to the firm’s announcement on Wednesday. Taking into account the latest purchase, MicroStrategy now owns 152,333 BTC worth over $4.6 billion at the current price of $30,190.

Michael Saylor’s analytics firm is one of the largest public holders of Bitcoin.

Typically, the accumulation of Bitcoin by firms like MicroStrategy is considered bullish for the BTC price. It signals rising demand from institutional investors. The timing of the announcement and the purchases coincides with the gold rush for filing spot Bitcoin ETFs. 

BlackRock leads gold rush of spot Bitcoin ETF filing

BlackRock flagged the race to file Bitcoin spot ETF applications with the US financial regulator, the Securities and Exchange Commission (SEC). Following the SEC’s crackdown on cryptocurrencies and exchanges, the largest asset management firm in the world revealed its plan to foray into crypto custody and the ETF business to meet its clients’ needs.

BlackRock was closely followed by WisdomTree, Invesco and Fidelity. The past two weeks marked the rising institutional interest in Bitcoin and during the same period, the asset climbed from $25,000 to $31,000, crossing the key psychological barrier at $30,000.

Crypto intelligence tracker Glassnode revealed that the Bitcoin price rally was induced by US-based traders, despite the SEC’s crackdown on the sector in June 2023.

Bitcoin month-on-month price change by trading session and region

Institutions in the US are therefore leading the Bitcoin price rally. MicroStrategy’s Bitcoin purchase and the recent spot Bitcoin ETF filings are key bullish catalysts for BTC. Check this post for Bitcoin price targets.

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