- Saylor sees Bitcoin as a “cure” for traditional economic problems
- One analyst predicted that MicroStrategy’s MSTR could reach $5,000 in the coming months
Michael Saylor, founder and CEO of MicroStrategy [MSTR]is not reluctant to promote Bitcoin [BTC]. In his last post on X (formerly Twitter), the director referred for BTC as the “cure” for economic ills.
“The cure for economic ills is the orange pill.”
Here it is worth clarifying that Bitcoin is also known as the “orange pill” within Crypto Twitter (CT). Furthermore, the post suggested that BTC is a superior hedge against economic issues such as inflation associated with traditional currency decline.
However, this is not the only time the director has said something about the cryptocurrency. Saylor even recently predicted that Bitcoin could reach $10 million per coin because it is the “perfect money” that can withstand time and inflation.
Michael Saylor adds +12K BTC in Q2
In Q2 2024, MicroStrategy collected BTC twice during retracement periods and through debt strategies (convertible bonds).
In June, MicroStrategy acquired 11,931 BTC for an average value of $65.8k. Moreover, the company raised 122 BTC in April, which it earned total property to 226,331 BTC, worth approximately $13.9 billion based on current market prices.
When adjusted to MSTR’s total number of shares, which was 17.7 million, the BTC per share amounted to 0.01276BTC. While this underlined MSTR’s correlation with BTC, new leverage of 2x could push price charts higher in the future.
T-Rex plans to launch its first 2x leveraged MSTR ETF in the United States. According to Bloomberg ETF Senior Analyst Eric Balchunas, the ETF could be 20x more volatile than the S&P 500 Index (SPX). He mentioned products like the “ghost pepper from ETF hot sauce.”
At the time of writing, the MSTR was back above $1,500, up 2% from the low of $1,300 during Monday’s trading session (June 24).
Interestingly, based on the current market structure on the price charts, MSTR could also reach $5,000 soon. So says market analyst Bitcoin Munger.
“MicroStrategy is about to explode. I wouldn’t be surprised if this reverse head-and-shoulders consolidation led to $5,000 in the coming months.”
Source: X/Bitcoin Munger
The inverse head and shoulders pattern (IHS) that the analyst is referring to is typically a reversal chart formation.
However, despite the bullish projection, BTC could still determine the near-term future of MSTR. In fact, the continued rise in Bitcoin’s price could lead to moderate price action for MSTR in the short term.
In turn, BTC has consolidated at lows of $60,000 lately amid overwhelmingly negative market sentiment. This is despite the upcoming launch of Ethereum [ETH] ETF.