Since MicroStrategy began investing in Bitcoin in 2020, its stock (MSTR) has outperformed every company on the S&P 500. The company’s co-founder and former CEO Michael Saylor led the push to buy Bitcoin, and this decision has paid off significantly. MicroStrategy continues to add to its Bitcoin holdings, and the stock’s performance reflects that.
MSTR Stock’s Success After Bitcoin Investment
Michael Saylor recently shared a post on X (formerly Twitter), highlighting MSTR’s success since it started buying Bitcoin in 2020. According to the data he shared, MSTR stock has outperformed all companies on the S&P 500. What’s even more surprising is that MSTR stock has done better than Bitcoin itself over the past four years.
Since MicroStrategy adopted Bitcoin, MSTR stock has shot up by over 1,000%. In comparison, Bitcoin has increased by 425%, and the S&P 500 by 70%. Michael Saylor’s bold decision to invest in Bitcoin has clearly worked out well. As a result, many institutional investors now see MicroStrategy as a way to gain exposure to Bitcoin. This has fueled MSTR’s massive growth.
MSTR Defies Predictions Despite Spot Bitcoin ETFs
There were concerns that MicroStrategy would lose its edge with the launch of Spot Bitcoin ETFs, but MSTR has continued to thrive. So far this year, MSTR stock is up over 120%. MicroStrategy’s Bitcoin buying spree isn’t slowing down either. The company recently purchased 7,420 BTC worth $458.2 million. Before that, they made their largest single buy yet, spending $1.11 billion on Bitcoin. In total, MicroStrategy now holds 252,220 BTC, with an average purchase price of $39,266 per Bitcoin.
Saylor Predicts Growing Institutional Adoption
Michael Saylor believes that Bitcoin adoption will accelerate now that options trading has been approved for BlackRock’s Spot Bitcoin ETF. He expects this move to bring more institutional investors into the Bitcoin market. Bloomberg analyst Eric Balchunas agrees, saying that options trading will increase liquidity, attracting larger investors.
Binance CEO Richard Teng also weighed in, saying that the institutional adoption we’ve seen so far is just the beginning. He expects more institutional investors to jump into the crypto space once they complete their research. However, it’s unlikely that any institution will match MicroStrategy’s massive Bitcoin holdings. To put it in perspective, the company owns nearly 1.2% of the total Bitcoin supply.
SEE ALSO: Elon Musk’s Meeting with El Salvador President, What to Expect in Crypto?
