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October 2, 2022
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Bitcoin rises above $ 32,000 while MicroStrategy raises morale with a new deal

MicroStrategy is one of the biggest Bitcoin buyers of the last 12 months

The world’s number one cryptocurrency has risen above $ 32,000 again, with U.S.-based business intelligence company MicroStrategy unveiling its relatively small $ 10 million Bitcoin (BTC) business.

As of Friday afternoon, 14h37 UTC, Bitcoin rose from the $ 29,400 level it had fallen to earlier in the day, and is trading at $ 32,565, after having appreciated by almost 3% on the last day. It fell 12% over the past week and rose by almost 37% in a month.

This increase occurs when MicroStrategy CEO Michael Saylor, announced that the company made an additional purchase of Bitcoin: they bought approximately 314 BTCs for $ 10 million under their Treasury Reserve Policy, at an average price of approximately $ 31,808 per Bitcoin, said the CEO. BTC’s turnover reached US $ 62.77 billion in the last 24 hours.

He added that MicroStrategy now holds approximately 70,784 BTCs, which at the current price translates to $ 2.3 billion.

In December last year MicroStrategy confirmed that it raised $ 650 million from selling 2025 convertible senior notes to buy more Bitcoin. At that point, the company had already acquired approximately 40,824 BTCs. Meanwhile, in October, MicroStrategy CEO Michael Saylor, revealed that he spent about $ 175 million in your personal BTC stock.

Cryptoverso was quick to comment on this big purchase. “It seems that a lot of people don’t understand”, argued the popular enthusiast and investor WhalePanda.

“You keep selling your Bitcoin to big institutional investors every fall, expecting us to fall again to [USD] 20k or less. This will not happen. Make them all buy at the market. ”

According to Changpeng Zhao, Binance’s CEO, Changpeng Zhao, “these 314 Bitcoins have been virtually out of circulation for a long time”, adding that this is the result of BTC “moving from weak hands to strong hands”. This is the same opinion that Jameson Lopp, Chief Technology Officer (CTO) at crypto security expert Casa, shared.

“From weak hands to strong hands.”

Others, however, are bringing up the potential market and the manipulation of people again.

Meanwhile, four days ago, the largest U.S.-based digital asset manager, Grayscale Investments, added BTC 16,240 to its Grayscale Bitcoin Trust (GBTC), bringing the total amount to BTC 632,800 ($ 20.6 billion). Since then, they have added 9,850 BTCs, now having total holdings of 642,610 BTCs.

“Tensions over an alleged double spending on Bitcoin combined with a generally insecure stance between BTC bears and bulls caused the currency to stagger to $ 30,000. But what was perceived as malicious manipulation was actually a perfectly normative blockchain event, in which the network worked according to its protocol – a clear sign that Bitcoin is simply “doing great”, said Antoni Trenchev , co-founder and managing partner of the main cryptocurrency lender Nexo.

According to him, the broader outlook is promising for a shorter drop in prices and a recovery of BTC.

“The new Biden government froze all agency rules, including a controversial proposal on” unhosted portfolios. ” Hand in hand with that, comes the toe of BlackRock diving into cryptocurrencies – another sign of positive institutional interest dominating the “big picture of Bitcoin”, he said, adding that “news like this is what we should focus on in our industry against false claims of double spending on BTC.”

“Trying to see the big picture, none of the fundamental reasons why we were optimistic recently went away. It just got stronger, “said Mati Greenspan, founder of QuantumEconomics.io, in his newsletter today, adding that the current downturn in BTC” is not a bad downturn for a bull market “.

In addition, although BTC is considered almost in the “extreme bubble” territory, more market professionals surveyed are more in favor of BTC than electric car maker Tesla in predicting how both assets can behave in the next 12 months. 56% of the 627 respondents surveyed by Deutsche Bank last week said that the price of BTC is more likely to fall in half in a year, and 25% said it is more likely to double, according to a Marketwatch report.

Meanwhile, 62% said Tesla’s stock price is more likely to fall in half and 18% said it is more likely to double. About 20% do not know what to expect in both cases.

Source: CryptoNews

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