Bitcoin Forum

Until this day, Microstrategy keep buying bitcoin. Recently, they even bought $15million equivalent with 262 bitcoins at @$57,146 so it makes Microstrategy HODL total 91,326 btc

https://cryptopotato.com/another-purchase-microstrategy-bought-262-more-bitcoins-for-15-million/

As the biggest public company HODL bitcoin for now, What do you think about their action?

I would like to hear all opinion from any HODLers and Weak Hands about this.

HODL stronger of course. MicroStrategy already proven it especially when Bitcoin dumped before when all-time-high reach around $40,000 then dropped to almost $29,000. They keep buying.
What I don't want to happen is they will take a loan just to buy Bitcoin, it is kinda risky though. Less debt, more Bitcoin is much better.

the question I ask myself is:

if a lot of people are just buying bitcoin to make hodl where will we end up? what future awaits us if we use bitcoin just to hold?

in short:

if Microstrategy was there to say that he bought a lot of things using bitcoin, that would be great news, but they just showed up to say that they do what 90% of people are doing and that news indirectly encourages more people to think only about hodl

there will come a time when everyone will have their bitcoins kept in their wallets for years, and bitcoin will only be used for that: to be kept in wallets for years

we end up holding as an investment like how we treat it today unless there is the need to use the BTC to buy something. everybody win, holders for longterm always win. but not everyone will hold.

there will come a time that we'll sell them all when we see bear signals. i read it on some thread that BTC and cryptocurrency are overheated and it's all over the media which i guess could really rocket to mars so we are not yet seeing that bear signal.

I guess it won't hurt the market if they keep on buying and storing it in the future and this might push the market price. The only question is are they really here for the long term? What if they suddenly dump their holdings?

For average joe, who is a holder, I don't think they care if Microstrategy keeps buying bitcoin, but it's going to be a competition, so everyone needs to be very careful of just dumping their bitcoin because someone is waiting to scoop it up.

Then they will be able to manipulate the market wherever they want it to go, as simple as that, they can sell portions of what they currently hodl to make the prices go down or short the market. The only way to survive that is to continually hodl bitcoin, as long as you have some in your possession, you don't have to worry about it.

Of the same feeling, I think I'm feed up with the whole Institutional investors buying and buying bitcoin, before you know it now, they will have majority on their hands that they'll be able to influence the movement of the market this time directly. Hope we all know there's 99% possibility for bitcoin to dump massively if Microstrategy was to come out and declare they'll be selling their bitcoin holdings or some fraction. We are giving them too much attention. They aren't adding anything to the industry yet only making money off it.

I think we need companies offering utilities, we need companies that'll buy into the idea of accepting bitcoin as payment options and give announcement like this more often instead of constantly manipulating the market with their news of acquiring more coins that only benefit them. Tesla bought bitcoin then they offered it as a payment options for their electric cars, we need more companies like this.

For those who buy there are those who sell.
If they value bitcoin so high and keep buying I don't see any problem with that; yes they are stacking big here but should they be stopped?
Bitcoin is not for payments only anymore: it is a clear unit of account, a medium of exchange and, more importantly, a good store of value.
The market decides where the bitcoins need to go.
Relax.

Exactly. I've been seeing Microstrategy buying bitcoin again and again so it doesn't feel any new to me and this news doesn't give any impact anymore as it did when he first bought. I'm more keen on seeing companies like what Paypal has done, accepting crypto merchant payments (although it hasn't launched yet). I want to see companies like Netflix, Amazon or Apple investing and then offering it as a payment method for their subscriptions. Once that happens, that's when we can expect to see more retail investors flocking in.

Not possible because no one can beat Satoshi Nakamoto holdings and other early investors that surely not gonna flip the majority of there Bitcoin. Microstrategy will sell some of there holdings once they achieve a certain profit because they can afford to hold it for too long due to the volatility of Bitcoin which might hit them hard once a panic sell occur.

There is no need to stop the monastery. MicroStrategy continues to buy at higher prices and that means the rise in bitcoin will definitely continue for a long time if they continue to chase bitcoin from now on.
The market will witness a lot of holdings with longer holders but will it be a trend again in the future with some popular people following in its footsteps?
I think we have to see what actually happens if a price goes up soaring high again it means that it is a sign that we are in bright times.

Part of me thinks they're insane for buying that much bitcoin, but only because they're a publicly-traded corporation.  But as long as their shareholders don't have a problem with it, there's no issue.  MSTR certainly has very large, clanging brass cojones for having purchased as much bitcoin as they did.  We all know how volatile of an investment it is, and unless MSTR is somehow hedging their purchase they stand to lose a TON of money if bitcoin crashes--and that can never be ruled out.  Everything seems very bullish right now, but any kind of bad news or a change in sentiment could send the price crashing.

They helped drive the price up, no doubt, and I'm sure a lot of bitcoin hodlers are grateful for that.  I do wish MSTR (and those other companies that bought bitcoin recently) the best.

We dont know on whats up into their minds or on what they are actually trying to achieve with these kind of accumulation behavior but one thing is for
sure that these buy out does really give out positive sentiment or impressions towards the market.It do simply shows that this company does really put
up its trust to bitcoin market and of course its just normal that they would really be minding off about on making profits.
This isnt limited to them but also in other companies as well it is just they are financially capable on doing such things on seeing buying tens or
hundreds of million in investing it out.

They are investing much in bitcoin and that's a real investing should be like. But I don't want to put my hopes that they'd be holding forever and the actual time of dumping it might come to them but we'll never know when. If they'll become the biggest holder, they're putting it in their own interest and business.
https://www.microstrategy.com/en/resources/events/world-2021/bitcoin-summit?CID=7014W0000014yhJQAQ

Really they can only become the largest holder if they represent a large amount of people or revenue through their holding.   Its not a good strategy to corner a market and become a whale in a puddle, BTC is large but generally any investment strategy would avoid such an event occuring because its dangerous and proved so many times.
  Even without reference to this specific company or example its best if the market overall grows in active wallets and usage, the price is secondary to that Im quite sure.

They see such potential with Bitcoin and we can’t stop them from being a big whales who owns the most Bitcoin, I’m pretty sure they know how to play on this market and they know how they can earn profit, considering their average price of Bitcoin.

If you think those whales will manipulate the market, then time can tell for now you’d better to focus on holding Bitcoin too because we’re still far from the moon, and BTC can still go higher.

i dont think they will want to ruin the market where they are investing their large funds. so as much as possible, they will protect this market also. and with their buying spree, it means, somehow they believe in this market. though we dont know their plans here, but still, it is giving positive impact in crypto in general.
even if they will become the biggest btc holder, i dont think they can control the market.

I honestly don't think it's too big of a deal.

They're probably executing a buying program similar to a DCA scheme, whereby they buy a certain amount of coin no matter what the price is in order to smooth out their average total cost on their position.

If they're committed to long term holding, then this is the most logical strategy to adopt.

They're probably nowhere near being the biggest BTC holding entity right now. The bulk of the coin is still concentrated on exchanges as opposed to publicly listed companies or special vehicles belonging to particular funds. But even if they become the top holder, so what?

Their influence on the BTC network is going to be no greater than anyone else's just because they hold thousands of coins. Actually, it'll probably be a positive given that they seem to be accumulating BTC for the long run as opposed to constant trading, which will likely reduce the amount of volatility in the market.

There is now a confirmed trend that sees exchange holdings slowly and steadily decreasing. In fact, exchange outflows are more than the inflows as you can see on https://glassnode.com/
Despite the price surge there is an unbelievably high long-term accumulation pattern that shows the real strength behind the entire bitcoin value proposition.

Less in circulation the higher the price. Take them coins off the market!!!  8)

their latest purchases are minuscule compared to what they hold. but the news still generate a little price appreciation.

Let's not be worried about them at all because even before MicroStrategy have been buying large quantities of Bitcoin there have been whales that have existed long before them and they have been controlling Bitcoin's price action right from the start and from what I know whales and even Bitcoin mining farms have been hodling larger quantities of Bitcoin as compared to what they have. If MicroStrategy will become one of the whales then they will just be doing the same action as what the whales are doing now, Bitcoin won't really be in a position where something has change as it will always be subject to volatility.

I was so confused about where they got the money to continue buying Bitcoin, that I was afraid they would use the borrowed money to buy Bitcoin.
Hopefully my guess is wrong, because if it is true this will be very dangerous for the future. By becoming the biggest BTC HODLer, Microstrategy
has become whales and is able to manipulate prices, because it is very dangerous if suddenly Microstrategy make Bitcoin dump. What happened
in 2017 could happen again this year, Bitcoin will be a massive dump if it is true that Microstrategy decides to sell their Bitcoin. Hopefully the plan
from Microstrategy continues to buy Bitcoin for long-term holding.

It sounds so straightforward yet many fail to understand this very basic principle. Today there was a bit of a shake and it is unbelievable to witness how easy is for the market to eat that many coins.

People do always really forget about the basics of that economics class.  :D

Ive been seeing another threads or those common ones that do talk about price bottom or crashes just because they do saw the price in the market had made out some corrections
which is just some common words from time to time.

That’s around 5.5 billion dollars worth of bitcoin total, do not be fooled by their 15 million dollar purchase, they use all the money they get into buying bitcoin, that is how they got to this level. They will surely beat that 100k level very soon, that is going to change a lot of things for people, I think it is quite important that we realize these huge companies get into bitcoin not like anyone else we have ever seen.

The biggest thing that we need to realize is that there is 18 million bitcoins, I am sure there are millions that is not in circulation but even with 18 million, having 100k of it total in just one company shows you that how powerful these companies are, if we look at big players that just holds and do not sell they probably all over over a million combined, which is why we need to make sure that we hold as well because all the coins we sell end up in their pocket.

This good news because a huge company joins in cryptocurrency so we will see good increasing of Bitcoin, Yes this from one side. On other side this also dangerous, because huge company control a huge amount of Bitcoin, maybe they can manipulate the price, yeah although the odds are little.
When they sell it?? Big question

Dump? into what exactly? USD?

In case no one has been following the whole point of their purchases was to get out of USD. Why would they hold USD in their tresuaries, that particular shitcoin is being devalued at a rate that exceeds most other shitcoins out there.

And being that companies can get USD for essentially free these days via debt that is backed by the FED, why they bother selling any assets for USD.

Yeah exactly. They won't ever be dumping. Michael Saylor has made very clear his strategy is to take out loans with the company's bitcoin as collateral if the company needs extra funds. Corporations like that can take out loans at very low interest, they play in a whole different game than us regular folks. So yeah there is no reason to ever sell. Holding Bitcoin will just improve the balance sheet of these companies and help grow the stock price and they can take out loans based on it if they need money.

You do not speculate that this might cause a very big concern for the late holders? This clearly is the beginning of someone having a concerning amount of advantage over late adopters and he will begin to have more power to influence the whole bitcoin economy. My only hope is that this influence will not go on to the developers.

They will sell when the time is right
Do you remember the Lehmann Brother and Great Depression...it will be much much worse

I doubt that there will be dumping that happens , because These company invest in Bitcoin for their Company's future in terms of financial stability and not just to Make Buy and sell like what other whales do.
These companies will secure their funds in terms of crypto as they believe this is the future currency and they have established their position now.
If they will plan to Pump and Dump then they had do the action from the past and not now that the value is increasing too high than what is the price back in 2018-2020.

There is a lot of room for much greater profit...so why dump when there is right in front of their hands the deal of the millenium.
If there were the average traders or what so ever they would minidumps to lower the price and gather more BTC (or whatever)....but this carries a risk ...if they try to exploit the Crypto market they might get it to crumble...so they buy in ridiculus high price to maintain the momentum.

I do really want to be optimistic with these companies continuously buying Bitcoins but on the other hand, they aren't different from the average investors out there who are buying it because of profit. Company's future?? For the future of the company?? Fuck off. They will sell at anytime they feel they need to.

There is no investor in this world that will hold their holdings forever. I saw some comments here saying that they will hold hold for the company. I don't think that they will hold it forever or at least in the next years. There will be a time that they alongside other average investors out there will sell if not all then most of their holdings just to have profits. If MicroStrategy will keep buying Bitcoin then ok. If they will be the biggest BTC holder then ok. Is it significant for us?? In the end they will sell when the right time comes.

In the end, its all about money. No matter what anyone tells you. All the rich hodlers now, if they would really need to sell their stack of BTCUSD (https://de.tradingview.com/symbols/BTCUSD/) they would do so. For medical reasons, or for other serious reasons.

There is also the fact that when they are making money, they will keep holding it and if there is a depression and prices of things go up and markets crash, bitcoin could be still going higher, and that is why they could be investing into bitcoin and not selling it.

Let's assume that something like 2008 happened again, markets crash, stocks go down, gold and oil goes up, there is a big turmoil, there needs to be trillions printed again, who gains profit from this? Bitcoin does, sure stocks will go back up as well but you would be in bitcoin way before and stocks would go down and back up while bitcoin just goes up and up and up, so that is why these companies will keep holding even on the worst days and they are holding on the best days as well, there is no reason for them to end up selling their coins, not right now, maybe if they have a reason to sell individually because of some money need.

A really clever investor would still try to sell the swing highs on BTCUSD (https://de.tradingview.com/symbols/BTCUSD/). Maybe not with all of his positions, but still with ... 30% of the total BTC stack. How can you buy the dip, if you dont have any money on the side? And big players think way more longterm as us traders do. so for them, the dont need to get filled with their positions right away, the have time. they would not buy all at the same point neihter, they would always try to get their orders filled in a range, so at one point, its their position that makes price leave the range to one side.

Also, if a bank crash or a 2007/08 would happen again, I am sure there would be some cash flowing into BTCUSD, but once anaysts could see stocks might be rising again soon, there will also be a decent cashflow away from BTCUSD, to paticipate in Stocks again.

These are institutional investors and they will be sourcing money by investors who are interested in investing in bitcoin and they will source the money and invest again. Who is making a decision to invest depends upon the financial analyst they are having because it is a high risk investment and they are one the biggest holders of bitcoin in recent times and they could manipulate the market if they decide to sell the coins.

You clearly haven't been paying attention to what Michael Saylor has been saying. Bitcoin is their treasury reserve asset. It is what they hold their balance sheet in. There is no selling. It'd be like asking when is some other company gonna sell all their USD. Question doesn't even make sense. They aren't investing in Bitcoin, they are holding it are their treasury asset. It is their base currency. There's nothing to sell to. Listen to the things Saylor has been saying the past 6 months or so if you think otherwise.

Good for them I guess? Bitcoin can be bought by anyone and if a private company is smart enough to do this at large quantities then that is fine, I am sure many weak hands and people that will have to buy bitcoin for a fortune in the future are going to complain about the low price Microstrategy paid for some many coins but it was their fault for not buying bitcoin earlier, bitcoin gave a decade to people so they could buy it for a price below 5 figures, if they did not took advantage of it then that is their problem.

Microstrategy just bought more bitcoin on yesterday. They have bought $15million or equivalent with 253 bitcoin with $59,339 for each bitcoin.

https://www.google.com/amp/s/www.coindesk.com/microstrategy-buys-15m-more-of-bitcoin%3famp=1

Do you think $59,339 is too high? It's not for Microstrategy.