MicroStrategy Buys $101M in Bitcoin

Key Points

MicroStrategy bought more Bitcoin, boosting reserves at almost $44.3 billion at current prices.
BTC price holds above $99,000, boosted by market optimism and adoption.

Michael Saylor announced via X that MicroStrategy has just boosted its BTC reserves with a new purchase. Meanwhile, BTC is back on track to $100,000, with its price supported by optimism and global adoption.

MicroStrategy Buys 1,070 BTC for $101 Million

MicroStrategy bought 1,070 more Bitcoins for approximately $101 million at an average price of about $94,000 per coin.

According to Saylor’s post as of January 5, the company held 447,470 BTC acquired for about $27.97 billion at an average price of about $62,500 per coin. The company’s reserves are now worth about $44.3 billion at current prices.

MicroStrategy achieved a BTC yield of 48% in Q4 2024, and 74.3% in FY 2024, according to Saylor’s notes via X.

The official data was revealed via a Form 8-K by MicroStrategy with the US SEC.

The announcement comes following the company’s latest plans revealed on Bitcoin’s 16th anniversary. MicroStrategy announced its plans to raise $2 billion to buy more BTC as part of its 21/21 Plan.

Amidst continued institutional adoption and optimistic predictions, BTC is back on track to $100,000.

Bitcoin Trades Above $99,000

At the moment of writing this article, BTC is trading above $99,000, up by over 1% in the past 24 hours.

Besides renewed inflows in BTC ETFs and optimism flooding the crypto space ahead of the upcoming Trump administration that is expected to create a National Bitcoin Reserve, more bullish factors sustain the price of BTC these days.

US Treasury Dept. Calls BTC “Digital Gold”

A US Treasury Department report calls Bitcoin, “digital gold.”

The notes also mention that the crypto market cap is relatively low compared to other financial and real assets, but the use cases of crypto continue to evolve.

The report also mentioned the following areas of interest:

Bitcoin’s main use case is a store of value aka digital gold in DeFi
Speculative interest has an important role in crypto growth
Efforts to leverage blockchain and DLT to develop new apps and improve the legacy financial market clearing and settlement infrastructure

Upcoming FOMC Meeting

The upcoming FOMC meeting is scheduled for January 29. According to CME Group, there are almost 91% odds for a 50 bps rate cut, another factor that could boost BTC’s price.