As the positive news kept flowing in, the Bitcoin price kept its momentum high. The world’s largest crypto coin is steady at $40,000 and is up 20% in the past 7 days. One of the reasons behind this steady price is the news by MicroStrategy, which is set to buy up to $488 million in Bitcoin, with the earning coming from a $500 million bond sale. Moreover, the company’s shares are up by 14% on Monday and 30% to Bitcoin price gain.
According to the filing by SEC, the US-based business intelligence firm helps about 92,076 Bitcoin. The filing further states that MicroStrategy purchased the existing holdings at $24 450 BTC. This shows that the company witnessed the value of its crypto rising by $1.5billion. After trading below the $35,000 area, Bitcoin finally recovered and pulled many other large-cap altcoins.
Uncertainty Cloud Still Around
Sentiments helped the price of Bitcoin to be positive after the downfall in May. 87% of investors surveyed by the broker, Voyager, plan to raise their Bitcoin holding in the next quarter. However, uncertainty clouds are still looming around, affecting the overall decision of trading Bitcoin. However, the crypto was up by 40% but was also down by third after reaching above $60,000.
Meltem Demirors, the Chief Strategy Officer at London-based asset management firm CoinShares, says that the MicroStrategy offering will be an upward price catalyst. Moreover, traders will position themselves as they have an idea that the market will be volatile again. Pankaj Balani, the Chief Executive Officer of Delta Exchange, believes that Bitcoin price will reach between $45,000 and $50,000 by the end of this week and increase the selling pressure. Another primary reason for the price boost of Bitcoin is the positive tweet from Elon Musk, indicating the acceptance of Bitcoin payment for Tesla vehicles.