Metaplanet Boosts Bitcoin Holdings by 56% Buying BTC Price Dips

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As a seasoned analyst with over two decades of experience in the financial markets, I must admit that the moves made by Japan’s MicroStrategy Metaplanet are nothing short of impressive. Their strategic approach to Bitcoin, treating it as a core corporate asset, is a bold yet calculated move that many other companies should consider.

On Monday, MicroStrategy Metaplanet Japan disclosed purchasing an additional 617 units of Bitcoin, taking advantage of its price drops towards $95,000. The company also shared that it made a substantial 309% return on its Bitcoin investments during the last quarter. Yet, despite this positive news, the stock value did not experience a significant rise today due to prevailing negative sentiments.

Metaplanet Takes Its Total Bitcoin Holdings to 1762 Bitcoins

Today, Japan’s MicroStrategy disclosed their purchase of 619.70 more Bitcoins for approximately ¥9.5 billion (equivalent to $60.7 million USD) each Bitcoin costing an average of ¥15.33 million. This recent buyout boosted the company’s Bitcoin earnings by 309.8% so far this quarter. Moreover, with Bitcoin’s price surge to a record high of $108K in this quarter, the company’s Bitcoin returns have significantly increased from 41.7% during the third quarter.

By December 23, Metaplanet has accumulated a total of 1,761.98 Bitcoins, which cost around ¥20.87 billion. This is an extension of the company’s continuous effort to grow its Bitcoin assets.

Last week, a Japanese company sold its fourth and fifth series of Ordinary Bonds. On December 17, 2024, they successfully raised 4.5 billion Yen from EVO FUND with the fourth series. A few days later, on December 20, they issued another 5 billion Yen through the fifth series also from EVO FUND, under similar conditions as the previous one. Spotting a chance with bitcoin’s 10% drop in price from its peak during the crypto market downturn, Metaplanet invested all the earnings into new Bitcoin purchases.

Metaplanet Becoming Bitcoin Treasury Company

Last week, it was announced that Metaplanet has declared itself as a company focused on managing Bitcoin as a key financial resource. The organization intends to tactically purchase and control Bitcoin, while also using financial markets to boost its shareholders’ wealth, according to their statement.

In simpler terms, CEO Simon Gerovich explained that their approach to buying Bitcoins is designed to shield their capital from the weakening value of the Japanese Yen.

Stock Price Up Over 2000% YTD

Over the past week, the company’s decision to adopt Bitcoin significantly boosted its share price, reaching an unprecedented peak of 4,250 JPY. However, since then, there has been a notable drop, and the stock is now trading around 3,410 JPY.

Speaking as a crypto investor, I’m thrilled to share that my investment in Metaplanet has surged an astounding 2,034% this year! This phenomenal growth has catapulted the company’s worth beyond the billion-dollar mark, making it a significant player in our digital economy.

Businesses and Governments Buying the BTC Price Dip

Beyond MicroStrategy from Japan, other significant investors are also buying Bitcoin during this current market adjustment. According to Arkham Intelligence, the government of El Salvador has increased its Bitcoin holdings, purchasing an additional 29 Bitcoins worth approximately $2.84 million. This new acquisition brings the country’s total Bitcoin holdings to 5,995 Bitcoins, valued at $562 million. This purchase occurred as El Salvador reached a deal with the International Monetary Fund (IMF) and secured a $1.4 billion loan.

Today, Bitcoin’s price stands at approximately $95,500, and its market capitalization has fallen below the $1.9 trillion mark. Moreover, daily trading volumes have decreased by over 4.18%, falling below $50 billion. According to Coinglass data, the 24-hour liquidation has climbed to about $62 million, with around $40 million in long liquidations.

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2024-12-23 09:48