Microstrategy Borrows $205 Million To Purchase More Bitcoin

The American company that provides business intelligence (BI), mobile software, and cloud-based services, Microstrategy took a loan of $205 million to buy more bitcoin and this has made the company one of the biggest bitcoin investors. As we see more dips in the cryptocurrency market, some investors and traders are skeptical as to whether they should buy more bitcoin, or sell their bitcoin holdings. But in the midst of the bear market, nations like El Salvador and organizations like Microstrategy are buying the dip. Is this the best time to buy bitcoin and altcoins or should investors wait for the next bitcoin rally?

At press time, bitcoin is trading at $16,168.10 on a BTC/USDT trading pair and it is down by 3.2% in a 24-hour trading volume. Bitcoin started with a bullish move this week and the bulls have been able to hold above the $20,000 price support level for the past few days. Visit www.gate.io to buy or sell crypto, if BTC is able to maintain that support level of $20,000 till Friday, it may close this week with the bulls prevailing over the bear. 

Macrostrategy will Purchase Bitcoin After Closing A Deal With Silvergate

Michael Saylor is the CEO of Microstrategy and a cryptocurrency influencer who has more than 2.5 million followers on Twitter and is one of the bitcoin bulls. He has been very vocal about bitcoin despite the current state of the market and believes that investing in bitcoin now is like investing in early startup tech giant companies like Facebook. Why does this billionaire believe in bitcoin and wants his firm to be a major bitcoin player by acquiring more bitcoin?

The Software firm, MicroStrategy started buying bitcoin in 2020 and at the end of 2021, it bought $425 million worth of bitcoin, and at the end of that year, the company had 124,391 BTC. In April 2022, the company for the first time took out a loan to purchase bitcoin worth more than $190 million and this brought its bitcoin holdings to 129,218 BTC. Investors can find latest cryptocurrency prices at Gate.io to make the investment.

However, macrostrategy which is a subsidiary of Microstrategy secured a cryptocurrency loan of $205 million from Silvergate to purchase more bitcoins using its current bitcoin holdings collateral. Silvergate Bank provides loans collateralized by Bitcoin. The San Diego-based bank focused on cryptocurrencies will service the loan through the Silvergate Exchange Network (SEN). This will make Microstrategy one of the largest holders of bitcoin and this affirms the fact that cryptocurrency bull Michael Saylor believes in the future of bitcoin and cryptocurrencies. Will other companies follow the path of the Microstrategy of buying more bitcoin in this current bear market?

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