MicroStrategy has recently bought more Bitcoin despite the raging bear market. While some members of the crypto community reacted very positively to this purchase, others took a more critical stance.
MicroStrategy bought an additional 2,500 BTC
MicroStrategy has increased its #Bitcoin Holdings by ~2,500 #BTC. As of 12/27/22 @MicroStrategy holds ~132,500 bitcoin acquired for ~$4.03 billion at an average price of ~$30,397 per bitcoin. $MSTRhttps://t.co/lcMeULcGQk
— Michael Saylor⚡️ (@saylor) December 28, 2022
Michael Saylor, executive chairman of MicroStrategy, recently tweeted about the company’s latest Bitcoin purchase. This brings the company’s total Bitcoin holdings to 132,500 BTC, purchased at approximately $4.03 billion.
However, 132,500 bitcoins are now worth only $2.2 billion, being almost at a 50% loss as the average price for acquired Bitcoin is $30,397. Some members of the crypto community showed scepticism toward this move, while others praised the initiative.
People’s opinions vary
Willy Woo and Dan Held, two Bitcoin analysts, discussed MicroStrategy’s purchase. If you’re a Bitcoiner, Woo says you shouldn’t be thrilled if the corporation increases its Bitcoin holdings.
Since the company’s decisions are centralized, the analyst worried that MicroStrategy amassing more Bitcoin would increase the company’s danger of centralization. Woo also argued that adoptions by regular people should be celebrated more than those from corporations.
On the other hand, Mike Alfred said he loved to hear this and will join Saylor’s decision by buying some bitcoins himself. Others stated, rather more whimsically “Hey man save some for the rest of us,” or “LOL at everyone selling his Bitcoin to Saylor.”
Some even said thanked him from a sell signal. While opinions on Saylor’s decision differ vastly, the fact is that people continue to accumulate Bitcoin regardless of its price development.
This article shows that the number of Bitcoin addresses holding at least 0.1 BTC increased from 3 million to 4 million this year. While centralization may be bad for Bitcoin, it is almost mission impossible.
In my opinion, an entity would have to hold at least a few percent worth of BTC to cause trouble, and Saylor is running out of cash to purchase additional bitcoins.