MicroStrategy Buys 1665 Bitcoins as MSTR Stock Crosses 200-Day SMA

• Last week, MicroStrategy purchased 1665 Bitcoins worth $142 million, at an average price of $85,681.
• MSTR stock reclaimed its 200-day moving average for the first time in nearly a year.
• Strategy repurchased approximately $152 million in STRC shares, with the price trading near $99.

Michael Saylor’s MicroStrategy (NASDAQ: MSTR) purchased 1665 Bitcoins during the last week, for the second consecutive week. The MSTR stock is showing a healthy uptick of 0.5% to $159 as investors eye further upside. Furthermore, the company also announced $152 million worth of STRC stock repurchases.

Strategy, previously known as MicroStrategy, announced a major Bitcoin purchase during the period of Sept. 21 to Sept. 27. During last week, the firm acquired 1,665 Bitcoin for $142.7 million at an average price of $85,681 per BTC.

The company sold 1.47 million MSTR shares, generating $246.2 million in net proceeds. Following the latest purchase, Strategy’s Bitcoin holdings increased to 847,666 BTC, acquired for a total of $63.95 billion at an average price of $75,437 per Bitcoin.

Following the latest Bitcoin purchase, Strategy’s BTC per share is on the rise, while the company’s mNAV remained around 1.2x last week. Market expert Mark Harvey stated that Strategy has now repurchased more Bitcoin than it sold earlier this quarter. Thus, the firm extends its streak of consecutive quarters of BTC holdings growth to 24.

Despite MicroStrategy selling nearly 1.5 million shares of MSTR, the MSTR stock price continues to hold firm around $160. Amid this development, the stock has reclaimed its 200-day simple moving average for the first time in nearly a year, reports analyst Venu.

The analyst added that with Bitcoin price showing strength around $84,000, it could be benefit MicroStrategy (MSTR) going ahead.

Another analyst, Daisy, pointed out that the MSTR stock price has broken its downtrend for the first time over the past year. The bounce back comes following a bottom near its 2021 high, a level the analyst described as a historical bottoming zone for the company.

Daisy also pointed to a MACD golden cross coinciding with the breakout. The analyst said Strategy could present a significant opportunity if Bitcoin continues to perform, adding that the stock’s previous breakout attempts had failed twice.

Following another $152 million in STRC share repurchases, the stock price has moved closer to its $100 peg. At press time, STRC shares are up 0.46% at $99. Back in June this year, the stock price had collapsed below $75, raising liquidation concerns.

This is exactly when Strategy started its aggressive acquisition of STRC shares, which offer a 12% annual dividend to its shareholders. Although it came at the cost of diluting the MSTR holdings, the experiment has proved a win-win for the company and its investors. Since June, the MSTR stock price is also up by nearly 100%.

This article is for informational purposes only and does not constitute financial or investment advice. Technical targets remain conditional.

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