Read on Twitter
MicroStrategy is about to buy $650 million worth of #Bitcoin 
and raise their total investment to $1.125 billion.
When it comes to public companies $MSTR is winning the #BTC treasury game by a good margin.
Time for a thread
and raise their total investment to $1.125 billion.When it comes to public companies $MSTR is winning the #BTC
treasury game by a good margin.Time for a thread
1/ MicroStrategy started their #Bitcoin treasury program back in August.
The least we can say is that this was good for $MSTR shareholders.
See for yourself
treasury program back in August. The least we can say is that this was good for $MSTR shareholders.
See for yourself
2/ Looking at MicroStrategy's stock correlations it is clear that something happened.
Before:
MSTR vs BTC correlation +22%
MSTR vs NASDAQ correlation +51%
After:
MSTR vs BTC correlation +53%
MSTR vs NASDAQ correlation +20%
Before:
MSTR vs BTC correlation +22%
MSTR vs NASDAQ correlation +51%
After:
MSTR vs BTC correlation +53%
MSTR vs NASDAQ correlation +20%
3/ This jump in the correlation between $MSTR and #Bitcoin makes a lot of sense when you consider that the current value of their #BTC treasury hodlings is more than 25% of their market cap.
makes a lot of sense when you consider that the current value of their #BTC treasury hodlings is more than 25% of their market cap.
4/ MicroStrategy's performance is going to be tied to #Bitcoin in the foreseeable future.
At the close on Friday $MSTR return on BTC holdings was about 60%.
But this is just the start of this halving cycle. We haven’t seen anything yet.
in the foreseeable future.At the close on Friday $MSTR return on BTC holdings was about 60%.
But this is just the start of this halving cycle. We haven’t seen anything yet.
5/ @michael_saylor is showing the way:
- Use #Bitcoin as a treasury asset to preserve your purchasing power.
- Do it early to benefit from the upside of the Bitcoin adoption curve.
More of my thoughts on that here https://ecoinometrics.substack.com/p/ecoinometrics-december-09-2020
- Use #Bitcoin
as a treasury asset to preserve your purchasing power.- Do it early to benefit from the upside of the Bitcoin adoption curve.
More of my thoughts on that here
https://ecoinometrics.substack.com/p/ecoinometrics-december-09-2020
