What happened?
On November 10th, the price of Bitcoin broke through the $81,000 mark, and the Crypto Fear and Greed Index rose to 78, entering the “extreme greed” zone. This is the highest point since April this year, indicating that market sentiment remains optimistic.
As the price of Bitcoin continues to rise, interest in “Bitcoin” on Google has also increased significantly. Many companies or countries that have invested in Bitcoin for the long term, such as MicroStrategy, Bhutan, and El Salvador, have also seen substantial profits recently.
With the Bitcoin halving event scheduled for 2024 and Donald Trump winning the US presidential election, there is a strong expectation in the market for a relaxation of cryptocurrency policies in the future, leading to a significant increase in sentiment indicators. Analysts predict that Bitcoin may have even greater upward potential before January 20, 2025, when Trump takes office.
MicroStrategy’s Bitcoin holdings exceed $20.5 billion, with a strategic investment profit of over 104%.
As the price of Bitcoin climbs to a historical high of $81,617, MicroStrategy, which actively buys Bitcoin, now holds over $20.5 billion worth of Bitcoin, with investment returns reaching 104%, demonstrating strong strategic patience and foresight.
So far, MicroStrategy remains the largest Bitcoin holder among global companies, followed by Bitcoin miners Marathon Digital and Riot Platforms, holding $2.1 billion and $840 million worth of Bitcoin, respectively.
According to data from “Saylor Tracker,” MicroStrategy has purchased a total of 252,200 Bitcoins in 42 transactions at an average cost of $39,292. The company plans to raise an additional $4.2 billion in the next three years to continue expanding its investment and coin acquisition plans.
MicroStrategy’s founder, Michael Saylor, has been actively promoting the long-term strategy of “using Bitcoin as a corporate asset reserve,” and his continued buying actions have not only driven the market value of Bitcoin but also influenced the investment decisions of other large institutions.
Market experts point out that as Bitcoin continues to be included in institutional investment portfolios, the supply-demand balance in the market may continue to be pushed higher, providing long-term support for the future performance of Bitcoin prices.
The weekend’s rise is particularly positive for Bitcoin ETFs and Bitcoin concept stocks.
For example, iShares Bitcoin Trust ETF (IBIT) rose 11% to a new high of $43.69 last week, and the stock price of Coinbase Exchange (COIN) also rose 48% to $270.74.
Others, such as Bitcoin miner Terawulf Inc (WULF) and CoinShares Valkyrie Bitcoin Miners ETF (WGMI), have also set new stock price highs this year due to the heat brought by Bitcoin.
Bitcoin frenzy sweeps the globe, Bhutan and El Salvador benefit from holding coins
The rise of Bitcoin has also boosted the appreciation of other countries’ crypto assets.
Since 2021, El Salvador announced its Bitcoin investment strategy, continuously purchasing 1 Bitcoin a day. It has accumulated more than 5,930 Bitcoins, with a market value exceeding $482 million, and the investment has grown by 80%.
El Salvador not only benefits from the appreciation of Bitcoin reserves but also continuously increases revenue for the treasury through the “Passport Program” that offers residency visas and citizenship to those willing to buy $1 million worth of Bitcoin, as well as the ongoing “Volcano Mining Project.”
Although initially criticized when entering the bull market in the cryptocurrency market and experiencing continuous price declines, El Salvador’s strategy seems to show stable growth benefits after the price of Bitcoin rebounded significantly, gradually changing the perception of its investment policy.
In addition, according to data from blockchain analytics company Arkham Intelligence, Bhutan’s Bitcoin holdings have now exceeded $1 billion, accounting for 32% of the country’s GDP, making it one of the few countries in the world to include Bitcoin as a national reserve asset.
Bhutan is also building large-scale Bitcoin mining facilities and hopes to consider Bitcoin as part of its strategic reserves to enhance its economic stability.
References:
cointelegraph, cointelegraph