Michael Saylor’s ‘Back to Work’ Post Triggers Talk of New Bitcoin Buying Rush
Michael Saylor’s ‘Back to Work’ post has cryptocurrency analysts wondering if he will start buying Bitcoin again. Saylor has been silent on his buying strategy for three months and his post has many speculating that his company will start aggressively buying Bitcoin once more after Saylor wrote “₿ack to Work” on his social media.
He has offered no updates on his company’s buying strategy and the post shows no statistics. Instead of posting the Orange Dots chart, he made a post describing him as energetic and working in the animated Bitcoin post.
Investors are especially curious about the message time. Saylor has consistently posted on company activities regarding Bitcoin on Sundays. Saylor breaking his own pattern by posting in the middle of the week makes analysts think that Saylor has been especially active regarding Bitcoin. Saylor is one of the most influential Bitcoin advocates. Substantial activity or even the subtlest of hints from Saylor or his employees regarding a buying strategy is the cause of extremely active trading.
The renewed buying talk comes only days after Saylor’s company sold a portion of his company’s Bitcoin.
In a filing with the U.S. Securities and Exchange Commission, the company stated there was a sale of 32 BTC, totaling around $2.5 million complete by the end of May. Sales were approximately $77,135 per BTC. Although the sale was a miniscule amount when compared to the balance of Strategy’s BTC, the sale was a topic of discussion in the industry given their history of the “never sell” BTC mentality.
The sale led the industry to wonder if there was a long-term shift in Strategy’s BTC philosophy, or if there was just a short-term financial need that was largely unrelated to the company’s philosophy.
Strategy Holds the Most BTC of All Corporations
Nothing in this sale is a change of philosophy to sell BTC, as Strategy is the most corporate holder of BTC. Strategy holds just over 843,700 BTC and the value is just over $ $56 billion.
The SEC filing stated that selling BTC would fulfill the obligations of the preferred stock offerings. This is a sign the sale was a short-term cash need; this is also supported by a sale of MSTR stock that netted an additional $128.3 million with roughly $900 million cash still held.
MSTR Value Decline
With the preferred stock sale, MSTR stock fell over 9% on June 2 and in the following month the value dropped almost 26%. As Strategy’s BTC was transferred to Coinbase and speculation on more sales swirled, the market’s confidence in Strategy’s operations declined.
Investors are watching if the company will start purchasing Bitcoins or if they will choose managing their balance sheet first.
Also, the Strategy previously used their cash resources to buy back around $1.5 billion in convertible notes at a discount. During that time the company stopped buying Bitcoins, and the pause continues.
What is Strategy Going to Do Next with Bitcoin?
There has not been an official communication about a Bitcoin purchase, however, Saylor’s latest tweet and “₿ack to Work” has sparked one more time speculation all across the crypto market. Given the Strategy history of buying Bitcoins in big amounts and Saylor, known of announcing the company movements through his social media, the investors continue to expect and wait for the confirmation of a buying activity.
The company continues to be the biggest corporate supporter of Bitcoin and the market will be watching closely the Strategy’s next movements whether they will continue to be on a big buying phase or financial restructuring.
Conclusion
The newest “₿ack to Work” from Michael Saylor has some thinking that Strategy will once again begin buying Bitcoin. This post comes soon after the company sold 32 BTC and with many investors worried about what will happen next with its gigantic holdings. Strategy manages the world’s biggest corporate Bitcoin holdings with over 843,000 BTC.
While these holdings continue to grow despite market conditions and pressure on MSTR, other companies are monitoring Saylor’s every move with and for Strategy. If the company resumes buying Bitcoin with Eric Weiss’s new plans in place, we can expect a change in market conditions and a lot of pressure on the price.
